Environmental Charter Schools
Minutes
Finance Committee Meeting
Date and Time
Friday June 1, 2018 at 8:30 AM
Location
ECHS Auxiliary Space, 2625 Manhattan Beach Blvd. Suite 100, Redondo Beach, CA 90278 / Zoom: Join from PC and Mac: https://zoom.us/j/959381494 Or Telephone: +1 669 900 6833 (Meeting ID: 147 466 498) / Call-in Location: 1 Market Place, San Diego, CA, 92101 / 2000 Imperial Hwy., El Segundo, CA 90245 / 11151 Orville St., Culver City, CA 90230
Finance Committee Members
Tracy Bondi - Chair
Jenni Owen - Co-Chair
Ken Deemer
Bruce Greenspon
Farnaz Golshani-Flechner
Finance Committee Charter
THE ORDER OF BUSINESS MAY BE CHANGED WITHOUT NOTICE
Notice is hereby given that the order of consideration of matters on this agenda may be changed without prior notice.
PUBLIC SPEAKERS AT STANDING COMMITTEE MEETINGS
Notice is hereby given that consistent with the requirements of the Ralph M. Brown Act, special presentations not mentioned in the agenda may be made at this meeting. However, any such presentation will be for information only. The public should be aware that the Committee is unable by law to deliberate or take action on items raised during the Presentations from the Floor section.
Environmental Charter Schools recognizes that it benefits greatly from public input and perspective. Individuals are invited to address the Committee on any topic or subject matter that falls within the Committee's purview. Speakers may sign up in person immediately prior to the beginning of the Committee meeting by speaking with the Committee Chair.
Should a member of the public wish to speak on matters not listed on the agenda, they may speak during the Presentations from the Floor section of the agenda. Speakers will be given a maximum of three (3) minutes each to address the Committee (non-English speakers utilizing translators will be given a maximum of six (6) minutes each). Please note that the Committee allows a maximum of 10 minutes to each subject as determined by the Committee Chair.
Should a member of the public wish to speak on matters listed on the agenda, they may speak during the Presentations from the Floor section of the agenda. Speakers will be given a maximum of five (5) minutes each to address the Committee (non-English speakers utilizing translators will be given a maximum of ten (10) minutes each).
The public should be aware that the Committee is unable by law to deliberate or take action on items raised during the Presentations from the Floor section.
REASONABLE ACCOMMODATION WILL BE PROVIDED FOR ANY INDIVIDUAL WITH A DISABILITY
Pursuant to the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, any individual with a disability who requires reasonable accommodation to attend or participate in this meeting of the Governing Board may request assistance by contacting ECS at (310) 214-3408, option 5.
FOR MORE INFORMATION
For more information concerning this agenda or for materials relating to this meeting, please contact ECS at (310) 214-3408, option 5.
Tracy Bondi - Chair
Jenni Owen - Co-Chair
Ken Deemer
Bruce Greenspon
Farnaz Golshani-Flechner
Finance Committee Charter
- Provides financial oversight for the organization
- In conjunction with staff and other stakeholders, develops an annual operating budget and recommends for board approval
- Monitors adherence to budget and recommends changes, if necessary
- Sets long-term financial goals with funding strategies to achieve them
- Considers special, unbudgeted requests and make recommendations to board
- Develops multi-year operating budgets that tie to strategic plan
- Ensures adequacy of financial controls and monitor for compliance
- Ensure Financial literacy of Board Members by providing training
- Hold a yearly ECS financial training course
- Ensure adequate financing for the facilities development in Inglewood
- Ensure salary schedules and benefits are supportable and sustainable
- Assist in determination of auditor evaluation and choice of auditors for 2018-19 audit
THE ORDER OF BUSINESS MAY BE CHANGED WITHOUT NOTICE
Notice is hereby given that the order of consideration of matters on this agenda may be changed without prior notice.
PUBLIC SPEAKERS AT STANDING COMMITTEE MEETINGS
Notice is hereby given that consistent with the requirements of the Ralph M. Brown Act, special presentations not mentioned in the agenda may be made at this meeting. However, any such presentation will be for information only. The public should be aware that the Committee is unable by law to deliberate or take action on items raised during the Presentations from the Floor section.
Environmental Charter Schools recognizes that it benefits greatly from public input and perspective. Individuals are invited to address the Committee on any topic or subject matter that falls within the Committee's purview. Speakers may sign up in person immediately prior to the beginning of the Committee meeting by speaking with the Committee Chair.
Should a member of the public wish to speak on matters not listed on the agenda, they may speak during the Presentations from the Floor section of the agenda. Speakers will be given a maximum of three (3) minutes each to address the Committee (non-English speakers utilizing translators will be given a maximum of six (6) minutes each). Please note that the Committee allows a maximum of 10 minutes to each subject as determined by the Committee Chair.
Should a member of the public wish to speak on matters listed on the agenda, they may speak during the Presentations from the Floor section of the agenda. Speakers will be given a maximum of five (5) minutes each to address the Committee (non-English speakers utilizing translators will be given a maximum of ten (10) minutes each).
The public should be aware that the Committee is unable by law to deliberate or take action on items raised during the Presentations from the Floor section.
REASONABLE ACCOMMODATION WILL BE PROVIDED FOR ANY INDIVIDUAL WITH A DISABILITY
Pursuant to the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, any individual with a disability who requires reasonable accommodation to attend or participate in this meeting of the Governing Board may request assistance by contacting ECS at (310) 214-3408, option 5.
FOR MORE INFORMATION
For more information concerning this agenda or for materials relating to this meeting, please contact ECS at (310) 214-3408, option 5.
Committee Members Present
Farnaz Golshani-Flechner, Ken Deemer, Tracy Bondi
Committee Members Absent
Bruce Greenspon, Jenni Owen
Guests Present
Dorothy Lee, Jeremiah David, Julie Vo
I. Opening Items
A.
Record Attendance and Guests
B.
Call the Meeting to Order
Farnaz Golshani-Flechner called a meeting of the Finance Committee of Environmental Charter Schools to order on Friday Jun 1, 2018 at 8:34 AM.
C.
Approve Previous Meeting Minutes
Ken Deemer made a motion to approve minutes from the Finance Committee Meeting on 03-23-18 Finance Committee Meeting on 03-23-18.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Farnaz Golshani-Flechner |
Aye
|
| Bruce Greenspon |
Absent
|
| Tracy Bondi |
Aye
|
| Ken Deemer |
Aye
|
| Jenni Owen |
Absent
|
II. Presentations from the Floor
A.
Presentation from the Floor on Non Agenda Items
None.
B.
Presentations from the Floor on Agenda Items
None.
III. Discussion Items / Updates
A.
EdTec Financial Update
EdTec consultant Dorothy Lee presented the EdTec financial update slides.
Dorothy showed operating income comparison and fundraising progress to date. Attendance statistics at all ECS schools were shown and it was noted that ADA was better than budget at both HS and Inglewood, but not at Gardena, which was expected.
ECHS P2 attendance was discussed including the drop in ADA from months 5 to 6. Alison would like to explore the reason for this drop so that we can have a clear understanding of why this happened. Action: Farnaz will research this item to have it ready for the next board meeting. ECHS operating income was shown.
ECMS-G P2 attendance and operating income were shown.
ECMS-I P2 attendance and operating income were shown.
ECS balance sheet was displayed. Net income losses were explained as due to the timing of the accounting reporting.
First part of audit was completed in early May, second part of audit will take place in late September.
Proposed LCFF will be fully funded in next year, better than expected. Proposed COLA increase went up a little versus prior year, to 2.71%. Proposed One-Time Funds and SB 740 Facilities Grant funds are both increasing.
Now that LCFF is fully funded, funding increase will likely only come through COLA. Continued growth in STRS and PERS cost was discussed. Minimum wage increase will be an impact over the next few years.
Enrollments statistics were discussed including the drop in ECMS-G unduplicated pupil percentage. This percentage was under-reported as prior year statistics were much higher.
18/19 budget slides were shown. Percentage of salary to total expenses was reviewed and concluded to be in line with typical charter school operators. Benefits as a percentage of total expenses were noted to be continuing to increase each year.
Dorothy showed operating income comparison and fundraising progress to date. Attendance statistics at all ECS schools were shown and it was noted that ADA was better than budget at both HS and Inglewood, but not at Gardena, which was expected.
ECHS P2 attendance was discussed including the drop in ADA from months 5 to 6. Alison would like to explore the reason for this drop so that we can have a clear understanding of why this happened. Action: Farnaz will research this item to have it ready for the next board meeting. ECHS operating income was shown.
ECMS-G P2 attendance and operating income were shown.
ECMS-I P2 attendance and operating income were shown.
ECS balance sheet was displayed. Net income losses were explained as due to the timing of the accounting reporting.
First part of audit was completed in early May, second part of audit will take place in late September.
Proposed LCFF will be fully funded in next year, better than expected. Proposed COLA increase went up a little versus prior year, to 2.71%. Proposed One-Time Funds and SB 740 Facilities Grant funds are both increasing.
Now that LCFF is fully funded, funding increase will likely only come through COLA. Continued growth in STRS and PERS cost was discussed. Minimum wage increase will be an impact over the next few years.
Enrollments statistics were discussed including the drop in ECMS-G unduplicated pupil percentage. This percentage was under-reported as prior year statistics were much higher.
18/19 budget slides were shown. Percentage of salary to total expenses was reviewed and concluded to be in line with typical charter school operators. Benefits as a percentage of total expenses were noted to be continuing to increase each year.
B.
Fundraising YTD Update
Development Manager Julie Vo and Chief Operating Officer Farnaz Golshani-Flechner presented the fundraising slides attached.
Fundraising total received to date this academic year is $461,031, total including committed funds is $567,031. Academic year goal is $891,800.
Farnaz Golshani-Flechner stated that grants are lower maintenance and more constant versus corporate and individual giving. Fundraising team at ECS will focus on applying for and receiving grants.
Alison Diaz asked if part of the reason that the grants received total for this year was lower was because some of the grants applied for are approved but won't be received until next year. The fundraising team responded yes.
List of 18/19 grant prospects were presented over the next few months. Farnaz asked if there could be discussion with some of the regular grantors to ECS in this list to increase their historical yearly give. Julie responded yes.
Ken asked what the implications are for not having received the full amount of grants that were in the 17/18 grants goal. Alison responded that there is some facilities work at the Inglewood site that will not be completed until the grants are received.
Fundraising total received to date this academic year is $461,031, total including committed funds is $567,031. Academic year goal is $891,800.
Farnaz Golshani-Flechner stated that grants are lower maintenance and more constant versus corporate and individual giving. Fundraising team at ECS will focus on applying for and receiving grants.
Alison Diaz asked if part of the reason that the grants received total for this year was lower was because some of the grants applied for are approved but won't be received until next year. The fundraising team responded yes.
List of 18/19 grant prospects were presented over the next few months. Farnaz asked if there could be discussion with some of the regular grantors to ECS in this list to increase their historical yearly give. Julie responded yes.
Ken asked what the implications are for not having received the full amount of grants that were in the 17/18 grants goal. Alison responded that there is some facilities work at the Inglewood site that will not be completed until the grants are received.
C.
Discuss higher Interest Bearing investments for ECHS, Greenspon scholarship, investment club at ECHS
Investment Policy draft was shown. Discussion ensued if an Investment Committee will be needed or if the investment initiative should remain the domain of the Finance Committee. Conclusion was reached to change language in Investment Policy to reflect that it will be "Finance Committee or designated committee."
D.
SELPA
SELPA exit letter was reviewed and discussed. This letter is a required notification a year in advance to the Southwest SELPA, letting them know that ECS is exploring other SELPAs for the academic year 2019-2020 to see which SELPA would be the best fit for the students and families of ECS. It does not commit ECS to leaving the Southwest SELPA, it only makes it an option for 2019-2020.
The Committee recommended that this SELPA letter be approved for submission to the Southwest SELPA.
The Committee recommended that this SELPA letter be approved for submission to the Southwest SELPA.
IV. Action Items
A.
Recommend Acceptance of March, April 2018 Check Registers
Farnaz Golshani-Flechner made a motion to approve March and April 2018 check registers.
Tracy Bondi seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Farnaz Golshani-Flechner |
Aye
|
| Jenni Owen |
Absent
|
| Bruce Greenspon |
Absent
|
| Ken Deemer |
Aye
|
| Tracy Bondi |
Aye
|
B.
Recommend Acceptance of March-April Private Donations Over $1000
Tracy Bondi made a motion to recommend acceptance of March-April private donations over $1000.
Ken Deemer seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Bruce Greenspon |
Absent
|
| Farnaz Golshani-Flechner |
Aye
|
| Jenni Owen |
Absent
|
| Ken Deemer |
Aye
|
| Tracy Bondi |
Aye
|
C.
Review and Recommend Approval of Investment Policy
Ken Deemer made a motion to recommend Investment Policy with changes as recommended by Ken Deemer.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Bruce Greenspon |
Absent
|
| Jenni Owen |
Absent
|
| Farnaz Golshani-Flechner |
Aye
|
| Tracy Bondi |
Aye
|
| Ken Deemer |
Aye
|
D.
Recommend Acceptance of Form 990
Ken Deemer made a motion to recommend acceptance of Form 990.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Ken Deemer |
Aye
|
| Farnaz Golshani-Flechner |
Aye
|
| Tracy Bondi |
Aye
|
| Jenni Owen |
Absent
|
| Bruce Greenspon |
Absent
|
E.
Recommend Approval of 2018/19 EPA Resolution and EPA Plans
Ken Deemer made a motion to recommend approval of 2018/19 EPA Resolution and EPA Plans.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Ken Deemer |
Aye
|
| Farnaz Golshani-Flechner |
Aye
|
| Jenni Owen |
Absent
|
| Tracy Bondi |
Aye
|
| Bruce Greenspon |
Absent
|
F.
Recommend Approval of FY 18/19 Contracts
Ken Deemer made a motion to recommend approval of FY 18/19 contracts, contingent upon the application and approval of a NatureBridge scholarship for the ECHS 12th grade field trip.
Tracy Bondi seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Farnaz Golshani-Flechner |
Aye
|
| Jenni Owen |
Absent
|
| Ken Deemer |
Aye
|
| Tracy Bondi |
Aye
|
| Bruce Greenspon |
Absent
|
G.
Recommend Approval of 2018-2019 Year Budgets for Each School Site
Ken Deemer made a motion to recommend approval of 2018-2019 year budgets for each school site.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Bruce Greenspon |
Absent
|
| Jenni Owen |
Absent
|
| Ken Deemer |
Aye
|
| Farnaz Golshani-Flechner |
Aye
|
| Tracy Bondi |
Aye
|
V. Closing Items
A.
Adjourn Meeting
Ken Deemer made a motion to adjourn the meeting.
Farnaz Golshani-Flechner seconded the motion.
The committee VOTED unanimously to approve the motion.
| Roll Call | |
|---|---|
| Jenni Owen |
Absent
|
| Farnaz Golshani-Flechner |
Aye
|
| Ken Deemer |
Aye
|
| Bruce Greenspon |
Absent
|
| Tracy Bondi |
Aye
|
There being no further business to be transacted, and upon motion duly made, seconded and approved, the meeting was adjourned at 10:14 AM.
Respectfully Submitted,
Farnaz Golshani-Flechner