March 13, 2018 SSE Finance Committee Minutes

March 13, 2018 Minutes

SONOMA STATE ENTERPRISES, INC.
FINANCE COMMITTEE
March 13, 2018

MEMBERS PRESENT:

Ms. Madeline Cline, Dr. Kirsten Ely, Mr. Neil Markley, Ms. Amanda Visser

MEMBERS ABSENT:

None

OTHERS PRESENT:

Ms. Megan Konieczka

I. Call to Order

The meeting was called to order at 10:05 a.m.

II. Approval of the November 29, 2017

The minutes were provided to the committee prior to the meeting via email. Ms. Cline moved to approve the minutes. Dr. Ely seconded the motion. The November 29, 2017 minutes passed with no changes. Mr. Markley abstained.

III. SSE Financial Statement Review

Ms. Visser passed out the Statement of Activity to the committee and reviewed the document in detail. She pointed out the sales are still trending a little low due to lost revenue during the fires. Discussion ensued regarding the low Cost of Goods Sold figures.
Ms. Visser then reviewed the Balance Sheet with the committee.
Mr. Markley informed the group of the possibility that the meal plans may increase next year. This year we had no meal plan increase. However, Mr. Markley pointed out that with normal CPI and the new union agreements regarding compensation increases, it will be impossible to hold the meal plan to another 0% increase for next year. Cumulative CPI for the prior two years has been about 6.5%. For next year, we’d like to keep prices below the cumulative CPI at around 5% (corrected to 4.5%). Discussion ensued and Ms. Cline voiced her concerns for the financial burdens that will fall to next year’s freshmen class due to a cumulative increase next year.
Mr. Markley also mentioned the SSE Contribution Working Group has been moving along nicely and there will be some discussion at the SSE Board Meeting regarding the logistics of the contribution report.

IV. ACTION: Approval Investment Policy

Mrs. Visser passed out a copy of the updated Investment Policy. The major changes included:
- Realigning the duties to the new SSE and University organization.
- Including duel signatures for approval.
Dr. Ely moved to approve the Investment Policy. Ms. Cline seconded the motion. The Investment Policy was approved unanimously with no changes.

V. Other Non-Action Items

Ms. Visser reminded the committee the SSE Board Meeting is on Friday. She also announced the CSU auditors will be meeting with Mr. Markley and Ms. Visser to discuss a potential auxiliary audit. She also mentioned to the group the possibility of the FSH land being appraised again as it has been two years since it was last appraised.

The meeting was adjourned at 10:56 a.m.

Mr. Neil Markely Secretary/Chief Operating Officer  Ms. Megan Konieczka Recording Secretary