Lake Chapala Society, Ajijic, Jalisco, Mexico

BOARD MEMBERS PRESENT: Nancy Creevan, Mary Ann Waite, Diane Miller, Mary Alice Sargent. Sandy Cross was also there representing Lynn Bishop (Recording Secretary)

MINUTES OF MAY BOARD MEETING: Mary Alice Sargent moved that the minutes of the May Board meeting (previously distributed) be accepted as written. Mary Ann Waite seconded the Motion and Motion was unanimously approved.

FINANCIAL REPORT:
Scott Casbeer presented the financial report and copies were distributed to all members. The following points were noted:

Membership fees are down 4%
Video rentals down 19%
Negative net income 28,397 – Last year 156,000 in May 07.

During the review of expenses it was noted by Scott that we continue seeing the benefits of previous maintenance projects and we are doing well at holding down expenses. However, Scott noted that our overall financial picture is of great concern as there is a limited amount in reserve funds.

Scott reaffirmed that it is going to be necessary to find other sources of income as we will soon face a critical problem.

It was suggested that we might approach the $10K donation donor to get permission to put the donation into the General Fund or use it for another LCS need, such as new classroom for WEC. The Board will not have a final figure for the July Fiesta until August due to the event being scheduled so late in July this year (7/26) and this has traditionally been the major LCS fundraiser of the year. It was also noted that we need to make it attractive for more people to pick up and pay for items for the silent auction the day of the event. It was suggested that we need more people to monitor close of auction and to process sales at the end of the July Fiesta.

Winter fund raiser; i.e., October/Nov harvest festival, New Year’s Eve Party, Valentines Day dinner. When snowbirds are in town.
Raise prices on vegetables to 25 pesos from current 20 to match Superlake’s prices.
Collect donations from non-LCS sponsored activities; i.e., board games, movies, lectures, and clubs. It was noted that LCS sponsored activities should not be free to non-members either.

Additionally tracking for projects should be implemented so that we can accurately track budgets and not have surprises with over-runs. A procedure for every project should go before the Board. Action item: Scott to write up this initial proposal for board discussion and approval.

It was suggested that the LCS Directory could be more of a money-making venture than a community service. (Suggested profit of $150,000.) It was discussed that having a Sales Director might be beneficial for increasing additional advertising revenue. The Sales Director would be separate from Design and Production Manager or possibly we split the duties between Administrative Director and Sales Director. We also need to impress upon advertisers that there is a cut-off for money and artwork and their ad will be pulled if not paid before publication. This to minimize carryover of debts for ads months after the directory is printed and distributed. If we lose some ads in order to enforce the deadlines, so be it.

A discussion followed of better controls on reimbursement requests paid by check. Being automatically paid is not unacceptable. Someone needs to review and approve requests before they are paid which would mean a 24 hour delay in payment. (Student aid and water/electricity payments would be paid same day, as there are sufficient controls on these already.) Also receipts are mandatory and we need to crack down on the receipt issue. (Emphasis being that authorization needs to be given BEFORE money is spent.) A possible example might be a process of authorization whereby written approval is given by a board member ahead of the expenditure, then these be kept in a tickler file until the receipt presented for reimbursement. Petty cash should be kept to 200 pesos reimbursements or less.

The previous discussion was tabled so that Scott could write a procedure which would encompass submission for authorization for purchase, payment, check writing, cash disbursement. (These are over and above budget items such as purchases of videos and books).

It was moved and seconded to accept the financial report. Motion was passed unanimously.

The Mexican working papers for Anne Heath are still in progress through Silvina and we are waiting for their completion.

The three (3) gardeners will continue with no new hire to replace Alejandro.
This at the suggestion of head gardener Venancio with the agreement of the other two part-time gardeners.

An evaluation was made by Brad Grieve assessing the possibility of adding another level. It was concluded that it was not feasible to build a second story except over the garage provided that extensive work was done beforehand to strengthen the foundation there. The fee for the evaluation is 1000 pesos and there is a written report filed for future use. There is also the possibility of a structure being built on the back patio area with second floor capabilities built in when the structure is built. Costs for these projects would be 90,000 – 120,000 pesos. Additionally, Brad says the wooden mirador now on the roof has rot and may soon have to be removed.

Mary Alice invited the Board to attend the Student Recognition Day on June 15, 2008, 5-7 p.m. Each student is given attendance tickets for their families and friends. This event is NOT open to the general public. She will send an e-mail to each Board member as a reminder.

Instructions for filling out applications for activities on the LCS grounds were distributed and it was discussed that we need some kind of guidelines for donations requested of non-LCS sponsored activities that are mentioned in that document. It was suggested that a 10% gate fee for events could be charged as a way to increase our revenues or conversely a flat rate per count (100 people = x amount of pesos; 200 people = x amount, etc.). Charges would have to be paid before the event and stringent rules would have to be adhered to as to clean-up, etc. Also groups are liable for any damages at LCS.

Action item: Diane is to contact the primary contact persons of each group to ask the number of LCS members vs. non-members they estimate are participating in their activity and report back to the board for possible further action.

Mary Ann Waite made a Motion to charge 1500 pesos for the Red Cross August fund-raising event with payment to be completed before the event. Diane Miller seconded and the Motion was passed unanimously.

A Motion by Mary Ann Waite and seconded by Mary Alice Sargent was made that all ads posted must be by members of LCS. Motion was passed unanimously. This change to be effective June 16.

The on-line classified ads are a huge success. However, a policy needs to be established regarding ad charges for non-members: 50-100 pesos and charges for commercial ads. (Members may post up to two ads per month free.) Ads have a 30 day limit online as well as on the boards on campus.

A Motion was made by Mary Alice Sargent and seconded by Diane Miller that Mary Ann would set a fair charge for on-line classified ads and distribute that proposal to the rest of the board. Motion was passed unanimously.

Merchandise sales were discussed and it was decided that one LCS Logo design would be used (half-moon logo) on T-shirts, coffee mugs, etc. An original LCS art program shirt will be sold on the patio by July 1, 2008.

A Motion was made by Mary Ann Waite that as of June 16, 2008 all ads on the Community Bulletin Board are for members only. Motion was seconded by Nancy Creevan and passed unanimously. Mary Ann to see that this info is published prominently in newspapers, on bulletin boards, on the lCS website etc. and also that office volunteers are briefed on this change prior to June 16.

Nancy reviewed her meeting earlier in the week with Andre and Marta Real, who are bringing a party/tour boat to the area soon. Initially it will go out from Jocotepec and return there, as this is the only place for which they now have been given permission to land. They are working on adding Ajijic and Chapala as well as some towns across the lake in the future. They left town the day of this board meeting to bring the boat back to Mexico overland from Florida. Nancy told them that LCS cannot sell their tickets for a percentage due to legal restrictions on us due to our A/C status, but would consider renting the boat for an LCS fundraiser later in the year. The boat holds 48 people and meets US Coast Guard requirements for safety, including life jackets for all. They will serve snacks and drinks, have tables and a small dance floor on board. The whole deck is enclosed. Andre is a former chef, so he hopes to expand the menu offered soon, perhaps having dinner cruises at sunset.