Over the course of the last couple of years, I have been asked by many of you,

Transcription

1 Quarterly News for NARFE Leaders National Active and Retired Federal Employees Association Volume 2, Number 3 April 2014 Yes! We Advertise By Elaine Hughes, National Secretary Over the course of the last couple of years, I have been asked by many of you, Why don t we advertise? Why don t we let potential members know who we are? Well, the simple answer is, Yes, we do advertise. We do not, however, advertise in the traditional sense that most of you would expect. All NARFE advertising is accomplished online. Online is where younger active federal employees (AFEs) find information that directly affects the federal community and search for retirement guidance. In 2013, we introduced a very aggressive and targeted online lead (prospect) generation campaign by advertising in online e-newsletters (GovExec.com, FederalDAILY.com, FEDweek.com, FederalNewsRadio.com) and other online media outlets. It was a period of testing for best placements and offers. The campaign proved to be very successful in building an in-house prospective members file. You may ask, Why is this so important? It is because this approach allows us to build an in-house file, which is critical to growing membership in the years ahead and to generate substantial NARFE brand exposure a double benefit. To help understand why the online lead generation campaign is successful, here are a few statistics: In order to collect the contact information of potential members, free white papers (articles and features from narfe magazine, such as Speeding Retirement and the Q&A Section) are offered. In 2013, we collected 14,765 new prospects; 97 percent of whom are AFEs. About 8 percent have converted to paid memberships through a very aggressive prospect-to-paid membership conversion effort. Not only are we gaining members through this effort, more than 1.5 million impressions or hits have been recorded in the first two months of 2014 alone. ( Hits are the number of times an ad about NARFE was viewed by our target audience.) We are reaching our target audience far more efficiently this way and in far greater numbers than in any previous member recruitment effort. In 2014, we are continuing our online campaign and reaping the benefits of our efforts. In the first two months, 6,018 prospects have been collected. The conversion rate (those who have clicked on our ad and continue on, filling out a form to receive their In this issue white paper and become a prospect) is 42.6 percent. This is well above the industry standard, which considers anything beyond 15 percent excellent. The online campaign continues to be expanded to include several new and innovative approaches to online marketing. Facebook is now offering custom online marketing in which NARFE online ads (i.e., free white paper offers) will be placed on the Facebook pages of those users with similar shared information. We also will be testing Google Remarketing, which means that those who view NARFE online ads but do not become prospects will receive additional opportunities as they surf the Internet. Please know that our advertising dollars are working hard and smart, and the next time someone asks Why doesn t NARFE advertise? Tell them, We do! l National Officers Columns Secretary... 1 Treasurer... 2 Legislative Update... 3 Federal Benefits... 6 NARFE in the News... 6 Passages... 8 NARFE Meeting Minutes National Executive Board, February

2 Guidelines for NARFE Chapter and Federation 2013 Federal Tax Filings By Richard G. Thissen, National Treasurer The IRS requires all not-for-profit association chapters and federations, without exception, to file a tax return regardless of how much income they have earned. If your chapter did not have any taxable income in 2013, you will still need to file Form 990-N, Electronic Notice (e-postcard) for Tax-Exempt Organizations. This form is only available on the Internet at The IRS will revoke the tax-exempt status of your organization if you fail to file your taxes for three consecutive years. Should this occur, you will have to reapply and pay the appropriate user fee to have your 501(c)(5) tax-exempt status reinstated. In order to file any return with the IRS, you must know your organization s Employee Identification Number (EIN). If you do not know your organization s EIN number, contact the Budget and Finance Department at , ext. 282, or budfin@narfe.org. In addition, you must show NARFE s group exemption, GEN 1599, on IRS Forms 990T and 990 and on all correspondence to the IRS. This number identifies your chapter or federation as a subordinate of NARFE under the group exemption letter. The 990 Filing thresholds for the 2013 tax year are: 1. File Form 990-N, Electronic Notice (e-postcard) for Tax-Exempt Organizations, which is only available on the Internet at if your federation or chapter gross receipts in 2013 were $50,000 or less. For the tax year ending on December 31, 2013, your gross receipts are considered to be $50,000 or less if your organization: a. Has been in existence for one year or less and received (or donors have pledged to give) $75,000 or less during its first taxable year; b. Has been in existence between one and three years and averaged $60,000 or less in gross receipts during each of its first two tax years; and is at least three years old and averaged $50,000 or less in gross receipts for the immediately preceding three tax years (including 2013). 2. File a Form 990, Return of Organization Exempt From Income Tax (or the short form, 990-EZ) if your organization had gross receipts greater than $50,000 but less than $200,000 and total assets of less than $500,000. Organizations Chapter/Federation Liability Insurance Enrollment Deadline Approaching Each year, NARFE offers each chapter and federation the opportunity to purchase liability insurance. This is group insurance with a shared $2,000,000 coverage level. The insurance covers a participating chapter or federation from third-party claims of bodily injury or property damage. It does not cover claims from one NARFE member against another NARFE member. Many chapters and federations participate in health fairs or other events that allow them to have a booth or table to distribute information and materials. Very often the facility hosting these events requires that participants provide a certificate of insurance showing coverage under a liability policy. Some chapter meeting locations also require this insurance. The rate is $75 for the year. Participating in the NARFE group insurance gives you coverage at a much lower rate than your chapter or federation could get locally. The insurance is effective from June 16, 2014, to June 16, The enrollment deadline is June 1, An message was sent to all chapter and federation officers in March with a letter and application for the insurance. If you do not have the letter and application form or want another copy, please send an message to Linda Parsons lparsons@narfe.org. Completed applications with accompanying checks should be sent to Headquarters, attention Linda Parsons. 2 NARFE Insider Quarterly News for NARFE Leaders

3 with gross receipts of $200,000 or more, or total assets of $500,000 or more, must file Form 990, not the 990-EZ. 3. File a Form 990-T, Exempt Organization Business Income Tax Return, with the IRS if in 2013 your federation or chapter had income (revenue minus cost of goods sold) of $1,000 or more derived from an activity that was substantially unrelated to the main purpose of your federation or chapter. Membership dues, interest on dues, bake sales, white elephant sales, etc., are excluded, but revenues such as advertising income are included. Obtain forms and instructions for completing the tax returns from your nearest IRS office or online at As discussed above, chapters and federations that do not meet the requirements for filing the 990 or 990-EZ form must file Form 990-N (also known as the e-postcard) electronically with the IRS annually. Form 990-N is not available in paper form. It is only available online at The e-postcard will require you to provide general information about your chapter or federation. In addition, you should provide the name of a chapter or federation officer (usually the president) and an address for your organization. Do not use the Alexandria, VA, address of NARFE Headquarters. If a chapter or federation files Form 990 or Form 990-EZ instead of the e-postcard, it must complete the entire return. Incomplete or partially completed forms will not satisfy the annual filing requirement. The filing deadline for all IRS Forms is the 15th day of the fifth month following the end of your fiscal year. Hence, if your fiscal year ends on December 31, 2013, you must file by May 15, NOTE: NARFE is a 501(c)(5) nonprofit labor organization and is exempt from federal income taxes. However, NARFE and its subordinate units are not exempt from state and local sales taxes. l Legislative Update By Jessica Klement, Legislative Director, and Christopher Farrell, Legislative Representative Gear Up Now for NARFE Meet-the-Candidates Month Summer recess, the longest break in the congressional calendar, runs for all of August through September 8. Senators, representatives and hundreds of candidates for Congress are already planning their schedules as they juggle fundraising, family vacations and constituent/voter meetings. Holding multi-chapter candidate forums and/or NARFE-sponsored late primary debates before the largest possible NARFE audience will pay dividends for years to come. Why? Because candidates are especially eager to please large constituent groups when facing the unknown of the first mid-term election after decennial redistricting. The NARFE Toolkit and legislative staff (leg@narfe.org) can make this less daunting than it may appear. Harness Federation Conventions for Advocacy U.S. senators, Senate candidates and the host area representative should be invited to speak to NARFE s legislative agenda at federation conventions the only occasion when NARFE s heaviest hitters are all together. Establishing remote connections are easier than ever, and district and state directors should be acceptable surrogates. Feature NARFE-PAC at Conventions As you probably noticed, the March issue of narfe magazine came wrapped with our request for a voluntary NARFE-PAC contribution. You can reinforce this message by featuring NARFE-PAC prominently at conventions. This is crucial in obtaining onsite contributions and convincing all NARFE leaders of the importance of NARFE-PAC, the Federal Employee and Retiree Defense Fund. 3 NARFE Insider Quarterly News for NARFE Leaders

4 Chained CPI in the News Even though the Obama administration removed the Chained CPI from its fiscal year 2015 budget, don t let this lull you into a false sense of accomplishment. For groups such as NARFE, there are no final victories or final defeats, only permanent interests. The Chained CPI could re-emerge at any moment. This topic is still the most frequently discussed entitlement reform. It has substantial support and is the likeliest gateway to a grand bargain. During the last 12 months, the Chained CPI is 0.2 percent lower than the currently used CPI-W, and the gap could grow larger once the Chained CPI is revised. More Accurate Inflation Measure Introduced Rep. Mike Honda, D-CA, introduced legislation, H.R. 4202, in March to base federal annuities, military retirement and some veterans benefits on the CPI-E. More details are available on the sponsor s website. Six Months into the Measurement Year On April 15, the Labor Department s Bureau of Labor Statistics (BLS) reported the consumer prices for the sixth month of the COLA measurement year. The March Consumer Price Index for Urban Wage Earners and Clerical Workers, the CPI-W, is , a one-month increase of For the first six months of the measurement year the CPI-W has increased 0.97 percent when compared to the 2013 third-quarter average, More information is available on the NARFE website. Methodology and frequently asked questions are covered on the BLS website. See the Social Security Administration's table of COLAs from 1975 for historical data. FECA COLA and FECA Legislation Employees covered by the Federal Employees Compensation Act (FECA), who left government service due to on-the-job injuries or illnesses, began receiving a 1.5 percent COLA (cost-of-living adjustment) in their April benefits. However, bipartisan postal overhaul legislation, S. 1486, would cut FECA benefits for postal and federal beneficiaries. S won a 9-1 vote in the Senate Homeland Security and Governmental Affairs Committee on January 29. (See April 2014 narfe magazine, pp. 6-7.) House and Senate Floor Votes The breakdown of nine House and three Senate votes cast in this Congress are now available on NARFE s Legislative Action Center. There you can easily find how your congressional delegation voted on budget and other key issues. In addition to these votes cast during 2013 and 2014, votes dating from 2003 are shown. If you have lost the centerfold from the October 2012 magazine (covering the 112th Congress votes), these eight pages are available to members as a pdf file. NARFE-PAC Quarterly Contribution Report (A250) The quarterly NARFE-PAC Contribution Report showing the number of contributors by chapter and total contributions by chapter and federation is posted on our website. This members only feature requires a user to use the Member Log In button. The gateway address for all NARFE-PAC info is There you will find the latest A250 showing contributions for the first 15 months of the election cycle. Please share this and all NARFE-PAC information with other NARFE members. l 4 NARFE Insider Quarterly News for NARFE Leaders Legislative Contacts CLIP & SAVE Phone Toll-free (NARFE pays toll) NARFE Legislative Hotline (24/7): U.S. Capitol Switchboard: White House Comment Line: Web NARFE Site: NARFE Legislative Action Center: U.S. House of Representatives: U.S. Senate: White House: Senate: Web forms/ address: senators_cfm.cfm House: Write Your Rep: Library of Congress Legislative Database: Postal Service USPS ZIP Codes in Washington, DC U.S. House of Representatives: U.S. Senate: 20510

5 State # Retirees # Actives USPS FT/PT Chapters NARFE GEMS Ofc w GEMS eactivists emessages AL 58,890 40,372 8, ,394 1, ,586 AK 7,714 12,428 1, AZ 54,265 41,859 9, ,229 1, ,431 AR 25,075 14,197 5, , ,646 CA 213, ,083 63, ,179 6, ,644 26,198 CO 49,139 40,361 10, ,268 2, ,835 CT 14,741 8,808 8, , ,639 DE 9,450 3,251 1, , ,055 DC 43,776 42,341 4, , FL 167,381 90,113 33, ,901 4, ,135 18,656 GA 83,961 76,914 17, ,087 2, ,738 HI 24,724 24,574 2, , ,934 ID 14,566 10,072 2, , ,286 IL 68,691 48,048 29, ,747 1, ,898 IN 36,771 23,677 12, , ,749 IA 20,970 9,146 7, ,510 1, ,040 KS 24,647 17,131 6, ,631 1, ,649 KY 33,527 25,056 7, , ,137 LA 26,982 20,702 7, , ,703 ME 13,956 10,808 3, , ,910 MD 158, ,054 12, ,046 5, ,998 16,092 MA 42,848 28,226 16, ,485 1, ,827 MI 44,006 30,069 20, ,053 1, ,835 MN 28,781 18,388 12, , ,219 MS 25,496 18,902 4, , ,230 MO 54,249 36,025 14, ,890 1, ,154 MT 12,852 11,174 2, ,327 NE 13,444 10,991 4, , ,577 NV 22,491 12,758 4, , ,130 NH 12,316 4,715 3, , ,577 NJ 54,575 25,940 21, ,907 1, ,144 NM 27,941 25,229 3, , ,611 NY 95,411 66,045 43, ,702 2, ,707 NC 73,591 45,159 17, ,389 1, ,864 ND 6,430 6,211 1, , OH 75,036 51,443 23, ,356 1, ,501 OK 48,255 38,169 6, , ,867 OR 33,351 21,334 6, , ,574 Panama 8, , PA 108,305 65,296 28, ,549 3, ,206 10,772 Phl. 2, PR/VI 12,032 11, RI 8,240 7,253 2, , SC 43,747 22,378 7, , ,446 SD 10,253 8,489 2, , ,161 TN 46,310 28,488 11, ,218 1, ,113 TX 168, ,428 40, ,506 3, ,357 15,726 UT 34,937 28,799 4, , ,490 VT 4,439 4,955 1, VA 142, ,293 15, ,236 6, ,239 17,805 WA 66,021 56,907 11, ,395 2, ,592 WV 17,868 16,361 3, , ,368 WI 26,971 16,225 11, ,476 1, ,289 WY 5,734 6,497 1, Guam 2,590 2,750 2, e ,983 14,333 2 TOTALS 2,531,546 1,862, ,340 1, ,454 86,149 5,684 28, ,203 5 NARFE Insider Quarterly News for NARFE Leaders

6 Federal Benefits By David Snell, Director, Federal Benefits Service Department 2014 Service Officer Awards Announced National Service Officer of the Year Clarence W. Burrell, Chapter 1420 (Smoky Mountain), Region X Clarence Burrell of Canton, NC, has been the service officer of Smoky Mountain Chapter 1420 since 1999 and a NARFE member since his retirement as postmaster of the Waynesville, NC, post office in May His late wife, Doris, who passed away in August 2013, was also a member of NARFE. Burrell is a veteran of the U.S. Marine Corps and fought in the Battle of Okanawa in World War II. Over the years, he has volunteered for the American Red Cross, the American Legion and was the vice president of his local YMCA. He is an avid amateur radio operator, a hobby through which he has made many friends nationally and abroad. l REGION II: PA *Robert J. Nakielny, Chapter 1063 MD Henry C. Rockel, Chapter 2274 NJ John Williamson, Chapter 1664 REGION III: MS *Ernest R. Lenaz, Chapter 209, MS REGION IV: IL Joan M. Pfeifer, Chapter 415 IN Rita A. Eades, Chapter 326 WI *Vernon R. Thalacker, Chapter 371 REGION V: KS *William H. Kastens, Chapter 2 SD June Schnieder, Chapter 201 REGION VI: AR Wenthom H. Maxwell, Chapter 287 TX *Steve Armstrong, Chapter 1191 Other regional nominees and winners are: REGION VII: AZ Billie J. Chrestman, Chapter 1234 NM *Tommy Dobson, Chapter 698 REGION VIII: CA *Jeannie C. Sprenger, Chapter 21 REGION IX: MT *Charles H. Rust, Chapter 843 WA Coleyne M. Lasher, Chapter 515 REGION X: KY Thomas E. Crider, Chapter 1373 NC *Clarence W. Burrell, Chapter 1420 VA James Bradley, Chapter 2265 WV Phillip C. Spriggs, Chapter 2263 * Regional Winner NARFE in the News Over the past few years, NARFE has enhanced its media outreach and, as a result, has seen an increase in media presence at both the national and local levels. These results grew from efforts to increase awareness of the contributions of federal employees to our nation, refute inaccurate perceptions about federal pay and benefits, and voice our opposition to proposals to cut the benefits of active and retired federal employees. Each issue of NARFE Insider will feature a selection of summaries of major media coverage, as well as local news coverage generated by chapters and federations. National Coverage Rep. Gerry Connolly, D-VA, proposed legislation that would raise federal-worker pay by 3.3 percent in In the March 26 Washington Post article by Josh Hicks, Connolly is quoted as saying that his measure would begin repairing the significant damage that has been wrought on our overworked, underpaid and underappreciated career civil service. NARFE and the National Treasury Employees Union are mentioned as having praised the bill, agreeing that such a pay increase would help the government attract and retain the best talent. 6 NARFE Insider Quarterly News for NARFE Leaders

7 In a mid-march edition of Mike Causey s Federal Report, NARFE s Director of Federal Benefits Service David Snell fielded a question about health care benefits in retirement. The IRS employee asked if she should sign up for Medicare Part B to supplement her coverage under the Federal Employee Health Benefits Program (FEHBP). Snell advised, If you decide to enroll in (Medicare) Part B, then help your out-of-pocket expenses by looking at other FEHBP plans that are less expensive. By law, Medicare coverage is primary when you retire, so your FEHBP plan, basically, acts as a Medigap plan. In early February, the FederalDAILY reported that NARFE urged lawmakers to purge a Federal Employees Compensation Act (FECA) reform measure from postal legislation slated for mark-up by the Senate Homeland Security and Governmental Affairs Committee. NARFE opposes measures in the Postal Reform Act (S. 1486) bill that would reduce FECA benefits for totally disabled enrollees to 50 percent of their pre-disability pay when they reach full retirement age. A Government Accountability Office report estimates that if this became law, federal workers disabled as part of their service would receive up to 35 percent less in retirement income than if they were not injured and retired after 30 years. NARFE President Joseph Beaudoin urged members of the committee to reject this misguided piece of legislation. He said, changing the workers compensation system for the entire federal workforce has no place in a controversial postal reform bill. In a February 25, article in Government Executive, NARFE President Joseph Beaudoin was quoted as saying that the proposed 1 percent pay raise in 2015 for civilian employees and most military personnel was bittersweet. In the article, Beaudoin went on to say: Although we are thankful that the three-year pay freeze has ended it is time to start closing the growing gap between public- and private-sector wages. The effects of the past three years of financial hardship have left their mark on federal workers, to the extent that half the federal workforce is exploring other career options. On the March 4 edition of the In Depth show on Federal News Radio, host Francis Rose interviewed NARFE s Legislative Director Jessica Klement about the release of the Obama administration s budget for FY15. Klement noted that the apparent omissions in the document were likely to be included in the Analytic Perspective of the supplemental documents that would be released the following week. Klement noted that the Chained CPI wasn t included not because it s bad policy, but because the president made it clear that since the Republicans aren t serious about deficit reduction he would not compromise on trimming entitlements. Klement continued, saying, the budget was more a policy document than a budget document and that appropriators are going to have to adhere to the budget levels. Klement cautioned that increases in retirement contributions for current federal workers are a continual threat, not necessarily in appropriations talks but because a member of Congress may have a pet project that needs funding. The Washington Post s Joe Davidson reported in his March 11 column that Office of Personnel Management (OPM) Director Katherine Archuleta unveiled OPM s new Strategic IT Plan, which would centralize the agency s information technology operations and institute a case management system designed to facilitate the processing of retirement claims. In the column, NARFE President Joseph Beaudoin is quoted as saying, OPM s IT infrastructure has long lagged behind the times, and previous modernization efforts have failed. He went on to say, We appreciate the new approach Director Archuleta is taking to deliver better services to federal agencies, employees and retirees. Director Archuleta said that OPM is on track to finish processing 90 percent of retiree claims within 60 days by later this year. Local Coverage Members of the NARFE Hammond Chapter 546 met with Indiana State Rep. Hal Slager and State NARFE Vice President Allen Lauer at a chapter meeting in early January, reported The Munster News. Discussion centered on legislation providing income tax relief for civil service retirees who live in Indiana. Slager serves on the state House of Representatives Ways and Means Committee. The Herald Times Online reported that members of the NARFE Bedford (578) and Bloomington (580) chapters attended a rally on February 10 at the Indiana Statehouse in support of House Bill 1071 for tax fairness for civil service retirees. Kasandra Ramsey, a retired USPS manager and an officer in NARFE s Indiana Federation, in a February 15 op-ed piece in OpEd News.com reported that Indiana House Bill 1071 received a unanimous Yes vote on the Indiana House floor. The bill exempts federal retirees from paying state and county taxes on all but $2,000 of their retirement income. NARFE helped the bill s sponsors achieve the successful passage of the legislation. l 7 NARFE Insider Quarterly News for NARFE Leaders

8 Passages Kenneth C. Martin, past Region III Vice President Kenneth C. ( Ken ) Martin of Warner Robins, GA, died April 5. An active member of NARFE since 1989, Martin held positions at the chapter, federation and regional level, serving as Georgia Federation president from , then as Region III vice president from Martin was a member of Warner Robins Chapter He is survived by his wife, Caroline; five children; six grandchildren; and one greatgrandchild. Martin was 82. Weida White Tolley Weida White Tolley of Dickson, TN, a former chair of the NARFE-Alzheimer s National Committee, died at the age of 99. Funeral services were held February 5. A lifelong resident of Tennessee, Tolley joined NARFE in 1973 as a retiree, having worked at the Veterans Affairs regional office in Nashville. Tolley served as vice-chair of the first NARFE-Alzheimer s National Committee, was appointed chair in 1989 and served in that position until She also served as Tennessee Federation Alzheimer s chair from , as well as Region X Alzheimer s coordinator. In 2008, the Tennessee Federation established an annual award named in her honor, to be given to the Tennessee NARFE chapter with the highest per capita contribution to the NARFE-Alzheimer s Fund. Tolley is survived by her husband, Samuel, two stepchildren, and several nieces and nephews. NARFE National Executive Board Meeting Minutes February 24-27, 2014, Hyatt Regency Riverfront-Jacksonville, FL Monday, February 24, 2014 Call to Order Moment of Silence Pledge of Allegiance Roll Call Presentation of the Agenda Present: National Officers President Joseph A. Beaudoin Vice President Paul H. Carew Secretary Elaine C. Hughes Treasurer Richard G. Thissen Regional Vice Presidents Region I Arthur Pike Region II Evelyn Kirby Region III Donald Stewart Region IV Paul E. Johnson Region V Carol R. Ek Region VI Jerome S. Smith Region VII Frank Impinna Region VIII Helen L. Zajac Region IX Lanny G. Ross Region X William F. Martin Staff National Executive Board (NEB) Executive Assistant Marian Uffen Director of Communications Margaret Carter NARFE Parliamentarian Paul Lamb Guests FL Federation President Ken Thomas Past MD Federation President Ted Jensen Betty Jensen Jane Beaudoin Amelia Carew Anna Pike Arlette Thomas National President (NP) Beaudoin called the meeting to order and introduced guests. 8 NARFE Insider Quarterly News for NARFE Leaders

9 NP Beaudoin stated this NEB meeting is the most important one ever, referring to discussions to follow regarding recommendations of the Future of NARFE (FON) Committee. He further stated that the FON report would be posted on the NARFE website that afternoon (Monday, February 24, 2014). NP Beaudoin called on Regional Vice President (RVP) Kirby, co-chair of the FON Committee, to present an overview of the committee s recommendations (Powerpoint on file). Following the presentation, NP Beaudoin facilitated a day-long discussion of the FON Committee s recommendations. (Detailed notes of discussion on file.) With no further business, the meeting adjourned. Tuesday, February 25, 2014 Present: National Officers President Joseph A. Beaudoin Vice President Paul H. Carew Secretary Elaine C. Hughes Treasurer Richard G. Thissen Regional Vice Presidents Region I Arthur Pike Region II Evelyn Kirby Region III Donald Stewart Region IV Paul E. Johnson Region V Carol R. Ek Region VI Jerome S. Smith Region VII Frank Impinna Region VIII Helen L. Zajac Region IX Lanny G. Ross Region X William F. Martin Staff National Executive Board (NEB) Executive Assistant Marian Uffen Director of Communications Margaret Carter NARFE Parliamentarian Paul Lamb Guests FL Federation President Ken Thomas NP Beaudoin called the meeting to order. Discussion continued regarding FON Committee recommendations. Following the discussion, each of the 35 recommendations was considered and voted on by the Board. The results of the voting are as follows: Recommendations: Recommendation #1: Engage in viable strategic planning on an ongoing basis. Vote: Unanimous in favor Passed Recommendation #2: Conduct a comprehensive branding study, to include whether or not a name change is warranted for NARFE. Vote: Unanimous in favor Passed Recommendation #3: Enhance NARFE s mission to include championing good government and public service. Unanimous in favor Passed NOTE: Recommendations #2 and #3 were a combined decision vote. Following a brief discussion, a motion was presented: Motion # SUBJECT: Branding Study. Motion made by National Treasurer Thissen and seconded by RVP Stewart that $30,000 be allocated for conduct of branding study. With a vote, the motion unanimously passed. Recommendation #4: Establish regionally elected Board of Directors of five members. (Reduce RVPs from 10 to 5.) Vote: 10 Yeas, 3 Nays Passed **NOTE: Recommendations #5 through #26 (listed below) were voted unanimous in favor Passed (Excluded 9 NARFE Insider Quarterly News for NARFE Leaders

10 Recommendations #9, 9-2, 10, 17 and 19, which were voted on separately.) Recommendation #5: Provide for representative election of Board of Directors under new structure and governance. Recommendation #6: Allow for two additional (or more if exceptional opportunity arises) appointed Board members. Recommendation #7: Establish term limits for Board members. Recommendation #8: Board members elect Board President and Board Treasurer. Recommendation #11: Update current removal process for all in elected and appointed positions. Recommendation #12: Establish the regionally elected Board members function as policy makers. Recommendation #13: Board of Directors to set annual National membership dues as part of the organizational budget process. Recommendation #14: Salaries of the Board President and Board Treasurer will be commensurate with their redefined roles. Recommendation #15: Institute term limits of three terms for the Board President and the Board Treasurer. Recommendation #16: Create a removal process for the Board President and the Board Treasurer. Recommendation #18: Transition from the Federation structure to a state advocacy structure. Recommendation #20: State Representatives and two other Representatives (replacing Federation Presidents) to become compensated. Recommendation #21: State Representatives to elect the Board of Directors, using a proportional voting system. Recommendation #22: Establish Congressional District Leaders (CDLs) in each Congressional District. Recommendation #23: Congressional District Leaders will be reimbursed for reasonable expenses by NARFE HQ. Recommendation #24: Direct election of CDLs by voting NARFE members. Recommendation #25: Structure NARFE s election process to coincide with the U.S. Congressional election process. Recommendation #26: Congressional District Leaders elect State Representatives, or other similar Representatives, using a proportional voting system. NOTE: Recommendations #9, 10, 17, and 19 (listed below) were voted Unanimous in Favor Passed Recommendation #9: Reduce four National Resident Officers to two National Non-Resident Officers. Recommendation #10: Use funding recovered from reduction of the number of National Officers and change to Non-residency to hire professional marketing staff and hire an Executive Director. Recommendation #17: Hire a professional Executive Director to manage the NARFE HQ. Recommendation #19: Curtail Federation funds, and migrate funding to State and other Representatives, and for congressional legislative advocacy. NOTE: The NEB voted to add exempt Philippines and Panama 11 Yeas, 2 Nays Motion passed Recommendation #27: Local chapter membership will become optional Unanimous in favor Passed Recommendation #28: NARFE members are automatically members of a Congressional District action team. Note: The NEB voted to add exempt Philippines and Panama Unanimous in favor Passed Recommendation #29: NARFE membership is open to all supporting its mission Unanimous in favor Passed Recommendation #30: NARFE should increase its professional marketing Unanimous in favor Passed Recommendation #31: Open NARFE membership to youth, up to age 26, at a reduced rate; e.g., $10/year, effective 2015 Vote of 12 Yeas, 1 Nay Passed Recommendation #32: Vigorously pursue non-dues revenue sources Unanimous in favor Passed Recommendation #33: NARFE should seriously consider establishing a 501(c)(3) foundation Unanimous in favor Passed 10 NARFE Insider Quarterly News for NARFE Leaders

11 Recommendation #34: Conventions should transition into conferences and other events Unanimous in favor Passed Recommendation #35: NARFE must use the most beneficial technology and communications methods possible Unanimous in favor Passed In reference to the timeline recommended by the FON committee and considered by the Board, the following was agreed to by the Board: Recommendations 1, 2, and 3 are to commence immediately. Recommendation 4 is to be effective November 1, It was also recommended that a resolution package for recommendations 1, 2, 3 and 4 be prepared by the Board to be considered for approval at the 2014 national convention. Following a discussion, a motion was presented: Motion # SUBJECT: Submission of Bylaws Resolutions to the 2014 Convention. Motion made by RVP Smith and seconded by RVP Stewart that the NEB submit any bylaws resolutions required by the accepted Recommendations of the Future of NARFE Committee to the 2014 National Convention. With a vote, the motion unanimously passed. Director of Communications Margaret Carter stated that with the recommendation to eliminate the National Vice President and National Secretary positions, the deadline for candidate statements would be extended to April 1 for inclusion in the June edition of narfe magazine. NP Beaudoin requested that National Secretary (NS) Hughes draft a summary report of the NEB s response to the FON Committee s recommendations to be reviewed the following day. With no further business, the meeting adjourned. Wednesday, February 26, 2014 Present: National Officers President Joseph A. Beaudoin Vice President Paul H. Carew Secretary Elaine C. Hughes Treasurer Richard G. Thissen Regional Vice Presidents Region I Arthur Pike Region II Evelyn Kirby Region III Donald Stewart Region IV Paul E. Johnson Region V Carol R. Ek Region VI Jerome S. Smith Region VII Frank Impinna Region VIII Helen L. Zajac Region IX Lanny G. Ross Region X William F. Martin Staff National Executive Board (NEB) Executive Assistant Marian Uffen NARFE Parliamentarian Paul Lamb Guests FL Federation President Ken Thomas Arlette Thomas Anna Pike NP Beaudoin called the meeting to order. NS Hughes distributed copies of the NEB s response report. After a discussion, it was agreed to attach the 35 recommendations to the report as a reference (response report on file). The Board continued discussions regarding the recommendations. At the conclusion of the discussion and with a unanimous vote, the NEB approved the release of the report approving/accepting the FON Committee s recommendations (NEB response report on file). 11 NARFE Insider Quarterly News for NARFE Leaders

12 National Vice President (NVP) Carew presented a proposed re-alignment of the current 10 regions restructured into five regions (Exhibit A). This issue is strictly an NEB decision (needs no bylaws amendment, and it is a recommendation of the FON Committee). With the realignment, the breakdown of the 435 congressional districts is as follows: Region I Region II - 81 Region III - 78 Region IV - 74 Region V - 79 Following a discussion, a motion was presented: Motion # SUBJECT: Establish Five Regions. Motion made by NVP Carew and seconded by RVP Smith that Exhibit A be approved as the new NARFE structure of five regions (effective November 1, 2014). With a vote of 12 Yeas and 1 Nay, the motion passed. Amendment to Motion # : Amendment made by National Treasurer (NT) Thissen and seconded by RVP Martin that the boundaries for the new regions be changed as follows: Michigan and Indiana from Region I to Region III; Arkansas and Louisiana from Region II to Region IV. With a vote of 8 Yeas and 5 Nays, the amendment to the motion passed. Second Amendment to Motion # : Amendment made by RVP Kirby and seconded by RVP Martin to amend the motion by having Virginia and Kentucky be moved to new Region II to help equalize the NARFE member numbers and congressional districts among regions. With a vote, the second amendment to the motion failed. This concluded discussion of the FON Committee recommendations for today. NS Hughes discussed misconceptions/workload relating to the Member Records Department and stated that efforts continue to improve customer service. (Member Record Call Log on file.) The Board listened to Legislative Director Jessica Klement, who was a guest on the Mike Causey Show, Federal News Radio, regarding the president s budget, Chained CPI and other issues relating to the federal community. NT Thissen presented a budget update and stated the 2014 audit will begin next week. He also stated 2013 ended potentially in the black and that it is the second year this has occurred. RVP Ross addressed legislative call-ins and the need to continue in spite of member complacency in participating in Call-In days. RVP Zajac requested a revision to the policy manual regarding closing chapters and also provided appropriate language taken directly from the F-10. Proposed Policy 3-10: With a vote of 12 Yeas and 1 Abstain, the vote passed. Proposed Policy 5-09: With a vote of 12 Yeas and 1 Abstain, the vote passed. ACTION ITEM #1: NS Hughes to prepare language for closing chapters for insertion into policy manual. RVP Smith stated that similar procedures to close chapters not affiliated with a particular federation should be developed. ACTION ITEM #2: NS Hughes to develop procedures for closing chapters not affiliated with a federation. RVP Stewart discussed his support for inactive (dormant) chapters to remain open because of likelihood that members will drop membership within a year of being transferred to other chapters. RVP Stewart recommended that chapters that reinstate dropped members be recognized/acknowledged in an official manner. 12 NARFE Insider Quarterly News for NARFE Leaders

13 ACTION ITEM #3: NP Beaudoin requested that NS Hughes determine if such an acknowledgement is possible. A Go-To-Meeting conference call was conducted with David Snell, director, Federal Benefits Services; Bridget Boel, director, Membership; and Jessica Klement, director, Legislation. (Notes and Powerpoint presentations on file.) RVP Ross presented a detailed background report (with assistance from Committee members RVP Kirby and RVP Smith) of the Convention Site Selection Committee s process to determine the sites to be presented to the Board for final selection. The following three cities and hotels are the finalists in site for the 2018 national convention: 1. New Orleans, LA - Marriott 2. Orlando, FL - Rosen Centre Hotel 3. Jacksonville, FL - Hyatt Regency Jacksonville Riverfront (It was agreed that the voting would take place on Thursday, February 27, 2014) New Business: NVP Carew discussed his finding regarding a company called Voluntary Benefits Solutions (VBS). It was brought to the attention of Headquarters by Dave Adams, president, Michigan Federation. Adams had requested the Board to consider a possible recruitment venture with VBS. Based on NVP Carew s findings, a venture with this company was not in the best interest of NARFE or its members. A motion was presented to formalize the decision. Following the discussion, a motion was presented: Motion # SUBJECT: Michigan Request. Motion made by National Vice President Carew and seconded by NT Thissen that the NEB approve the Michigan Federation s request to provide its membership to the Voluntary Benefits Solutions (VBS). With a vote, the motion unanimously failed. RVP Ross presented the original Chapter 915, Oregon Federation of Chapters banner and lapel pin to NP Beaudoin. ACTION ITEM #4: The next National President, elected at the 2014 National Convention, will establish and announce the date and location of the 2015 Annual Meeting. With no further business, the meeting adjourned. Thursday, February 27, 2014 Present: National Officers President Joseph A. Beaudoin Vice President Paul H. Carew Secretary Elaine C. Hughes Treasurer Richard G. Thissen Regional Vice Presidents Region I Arthur Pike Region II Evelyn Kirby Region III Donald Stewart Region IV Paul E. Johnson Region V Carol R. Ek Region VI Jerome S. Smith Region VII (not present) Region VIII Helen L. Zajac Region IX Lanny G. Ross Region X William F. Martin Staff National Executive Board (NEB) Executive Assistant Marian Uffen NARFE Parliamentarian Paul Lamb Guests FL Federation President Ken Thomas Arlette Thomas NP Beaudoin called the meeting to order and recognized guests. 13 NARFE Insider Quarterly News for NARFE Leaders

14 Unfinished Business: NS Hughes stated that there are several forms/brochures being discontinued. An updated F-18 will soon be available. A discussion continued of the FON Committee recommendations. RVP Kirby suggested amending the new regional boundaries to put the states of Kentucky, Virginia and West Virginia into the new Region II. No action was taken. Board members cast votes for the 2018 National Convention site. Chair RVP Ross announced that the Hyatt Regency Jacksonville Riverfront in Jacksonville, FL, will be the location of the 2018 National Convention pending a final discussion with the hotel s management. ACTION ITEM: To be posted on website New Business: After a discussion, the following motion was presented: Motion # : SUBJECT: NARFE National President Sign 2018 Convention Contract. Motion made by RVP Ross and seconded by RVP Pike that the President be granted the authority to sign the 2018 convention contract and discuss with the hotel the necessary changes required to address the impact of the NEB report and FON Committee report. During the meeting with the hotel, the National President will discuss the value to the hotel because of the impact of a Federation Presidents meeting to be held at the hotel. With a vote, the motion unanimously passed. RVP Zajac asked for a timeline for the Q&As document being prepared by the FON Committee and accompanying documents so that discussions could begin at upcoming federation conventions and with chapters. RVP Kirby stated that the Q&As document will be available by the end of the following week. With no further business, the meeting adjourned. **The next scheduled NEB meeting will be announced at a later date. Elaine C. Hughes National Secretary NARFE Insider is posted on the website, The following members receive NARFE Insider for NARFE Leaders: Officer codes 1-Chapter President, 2-Chapter Vice President, 3-Chapter Secretary, 4-Chapter Treasurer, 5-Chapter Secretary/Treasurer, 6-Chapter Legislative Officer/National, 7-Chapter Membership Chair, 8-Chapter Public Relations, 9-Chapter Service Officer, 11-Chapter Editor, 12-Chapter Alzheimer s Chair, 13-Chapter NARFE-PAC Officer, 14-Chapter Financial Secretary, 15-Chapter Other, 16-Chapter Net Coordinator, 17-Chapter Legislative Officer/State, 20- Federation President, 21-Federation Executive Vice President, 22-Federation Vice President, 23-Federation Secretary, 24-Federation Treasurer, 25-Federation Secretary/Treasurer, 26-Federation Legislative Chair/National, 28-Federation Legislative Chair/State, 29- Federation PR, 31-Federation Service Officer, 33-Federation Membership Chair, 34-Federation Editor, 35-Federation Alzheimer s Chair, 36-Federation NARFE-PAC Coordinator, 37-Federation Immediate Past President, 38-Federation Other, 39-Federation Executive Committee, 40-Pre-Retirement Speaker, 41-Federation Net Coordinator, 42-FEEA Coordinator, 43-Federation Area Officer, 44-Regional Alzheimer s Coordinator, 45-Regional FEEA Coordinator, 49-Regional Vice President, 50-Immediate Past Regional Vice President, 51-National Officer, 52-Past National Officer 14 NARFE Insider Quarterly News for NARFE Leaders