Minutes February 17, 2009

First Unitarian Church of Cleveland

Board of Trustees Meeting Minutes

February 17, 2009

Board Members Present: Esther Bockhoff, Steve Sanford, Wendy Macklin, Kim Littell, George McGaughey, Tom McKenna, Kevin Ortner, Maureen Harrington, Ray Gonzalez.

Staff Present:             George Buchanan, Daniel Budd, Doug Aubin

Guests Present:         Craig Hardy, Nancy King Smith

                                   

<!--[if !supportLists]-->1.                  <!--[endif]-->Opening:  Wendy called the meeting to order at 7:01 p.m.  Opening words were provided by Esther, followed by the reading of the board Covenant.

<!--[if !supportLists]-->2.                  <!--[endif]-->Approval of 1-20-09 Minutes:  The minutes were approved. The Board minutes are on file and are posted in the church library and are also available on the church website.

3.        Huntington Bank Investment Fund Review:  Craig Hardy, our Investment Fund Portfolio Manager from Huntington Bank reviewed the current status of our Investment Fund as of 2/17/09.  He reviewed the current market trends, noting that we are in the worst bear market since 1931.  He reviewed our church’s current statement of investment policy including our primary investment objective which is to prudently invest funds emphasizing maximum total return within acceptable risk parameters by using a balanced strategy of equities, fixed income and cash equivalents in a mix which is conducive to participation in rising markets while allowing for adequate protection in falling markets.  He reviewed our current asset allocation guidelines which include 50-70% to equity securities, 30-50% to fixed income securities, and 0-20% to cash equivalents.  He noted that the church’s investment fund is considered fiduciary assets by Huntington Bank, and thus not at risk if Huntington Bank were to default or be acquired.  Mr. Hardy then reviewed our investment funds return over the last 3 months, fiscal YTD ( 6 months ) and last 12 months, noting equities down at -10.91 % for the last 3 months ( better than benchmark of -14.1% ), -31.91% for the last 6 months ( better than benchmark of -34.5% ), and -36.58% for the last 12 months ( better than benchmark of -38.61% ).  Bonds made 2.26% over the last 12 months, and money market made 1.31% over the last 12 months.  He also reviewed our investment funds return over the last 3, 5, and 11 years, noting that a -5.72% net loss over the last 3 years, -1.67% over the last 5 years, and + 0.76% over the last 11 years.  YTD 2009 our investment fund value is $ 1,225,264.  There was some discussion over interest in pursuing green investments as a part of our investment fund policy.  At the next quarterly investment committee meeting, the green investment consultant from Huntington Bank will present green investments opportunities to assist the committee in moving towards more green investments.  There was discussion about forming a subcommittee of the board to examine amending our current statement of investment policy to incorporate some commitment to green investments.

4.         SLT Reports:  Doug presented the administrator’s report.  George presented his Minister for Religious Education Report, and Daniel presented his Parish Minister’s Report.   These reports are on file and are posted in the church library as is a copy of the current church operating budget summary.

Highlights from Doug’s report:  The church will be renting out its parking lot for the upcoming PGA golf tournament at nearby Canterbury Golf Club.  Our contractor’s insurance will cover all of the recent flood damage.  The stewardship campaign has raised $ 25,340 to date with a 7.4% increase in those who have pledged over last fiscal year.

For YTD fiscal year 02/09, a total of $ 15,224 has been collected from the Sunday offering.  These offerings are noted in the “Making a Difference” column in the newsletter. 

George highlighted his report, presenting a growth strategy for the RE program based on previous Durall discussions which would market to parents living within twenty minutes of our building, who have school age children and who want a liberal religious education for their children, noting the church already has certain advantages such as excellent facility, a solid tradition of programs for middle school youth, etc.   There will be further discussion at a later meeting.

Daniel, in lieu of a formal report, focused the board on what really is the value of routine board reports, with the idea that the board, in focusing more on strategic action as a part of its adoption of PBG, should be moving more from routine transactional leadership to more transformational leadership with reports emphasizing more the end statements and the concept of” Why we are here.”  He presented his previous sermon entitled, “What’s Our Why?”  Tom noted that per PBG policy, the SLT reports are important in a practical way for the board to evaluate and monitor the SLT against limitations but noted that the PBG Board-SLT linkage policies being developed will emphasize more the board’s strategic visioning role.

<!--[if !supportLists]-->5.                  <!--[endif]-->Treasurer’s Report:  Esther presented the month to date operating budget summary, noting that offerings are a little behind ($ 311,224 end of 1/09 vs. $ 334,000 budgeted) but that we are financially stable due to expenses being below budget.  Esther will be presenting a financial report at the Major Givers reception on February 21st and will also be presenting the “State of the Church Finances” and the anticipated upcoming budget for 2009-10 to the congregation on Sunday, March 1st after church in Fellowship Hall.

<!--[if !supportLists]-->6.                  <!--[endif]-->President’s Report: 

<!--[if !supportLists]-->a.       <!--[endif]-->Forum coverage by board members:  Board members were encouraged to sign up for specific Adult Forum dates to formally welcome the attendees for coming and invite them to participate in other church activities.

<!--[if !supportLists]-->b.      <!--[endif]-->Stewardship Update:  Despite no co-chairs this year, the campaign is going well.  The Major Givers reception is at George McGaughey’s on Feb 21st and the stewardship campaign dinner is scheduled for March 14th with plans for a basket raffle coordinated by Laurie Albright.

<!--[if !supportLists]-->c.       <!--[endif]-->Membership:  The membership committee will be making a presentation to the board at the March meeting regarding membership recommendations from the Durall report as well as review of the recent phone survey of the membership which was considered successful.

<!--[if !supportLists]-->7.                  <!--[endif]-->Diversity Task Force Recommendations:   The Final Report, Open Arms Diversity Task Force was reviewed and discussed.  A motion was made and passed that the board supports the goals as set forth in The Final Report, Open Arms Diversity Task Force with SLT to bring back action plan recommendations including timeframes and resources needed.

<!--[if !supportLists]-->8.                  <!--[endif]-->Durall Working Group Report:  Maureen reviewed the recent Future Search Ad Hoc Committee meeting of February 17th who are examining the Durall report with the plan to continued meeting and make further recommendations to the board on areas for action.   The task force looked at the five elements of membership and will develop Strategic Goals by the end of the summer.  Other areas discussed included marketing and the desire to grow.  Identified groups to target include: interfaith couples, mature adults 50+, lapsed UU’s, and families with young children, noting that frequently RE families come to First Church with intent to stay but then go.  Promoting the church was discussed, such as the upcoming March 1st service, emphasizing our Outreach program at John Raper.  It was suggested we have a presence at the upcoming large health fair at the county fair grounds in Berea

<!--[if !supportLists]-->9.                  <!--[endif]-->SLT Consent Agenda Items for vote:

<!--[if !supportLists]-->a.       <!--[endif]-->Green Sanctuary:  Nancy King Smith, chair of our church’s UU Ministry for Earth committee, came to answer any board questions regarding our church’s application for Green Sanctuary Candidacy.  George briefly reviewed the various aspects of the application and a motion was made and passed to approve the proposed plan for application for Green Sanctuary Candidacy.

<!--[if !supportLists]-->b.      <!--[endif]-->Ministers Housing Allowance: A motion was made and passed to read, “During 2009 the housing allowances for our ministers shall be as follows: $ 23,600 for Parish Minister Daniel Budd and $ 18,500 for George Buchanan, the Minister for Religious Education.  These amounts shall be allocated from the total salary and housing amount budgeted for each minister.”

10.         PBG Task Force:  Tom reviewed the five Board-Staff leadership Team Linkage Policies ( LNK ).  The board gave its input and the policies will be presented at a later date for final approval.

                       

11.      The March reader will be Kim.   Esther provided the closing words and the meeting was adjourned at 9:15 pm.