The quarterly general membership business meeting of the Cincinnati Musicians’ Association was called to order on September 22, 2014 at 7:16 PM.
12 members and 1 guest (John Layne) were present.
Minutes from the June 30, 2014 quarterly meeting were read and approved.
- President Frankenfeld welcomed members and greeted George Watkins, our newest member.
II. Financial Audit Presentation
- President Frankenfeld introduced John Layne from Kelley, Galloway & Company. They are responsible for the annual audit of the books.
- Layne provided each member present with a handout. He proceeded to go through the handout and stopped to answer any question presented.
- Restricted funds: These funds are solely for the insurance reserve fund. These funds are used to pay the retirement money for anyone who retired prior to 1989. There are currently 8 members who are receiving funds.
- Our By-Laws restrict where money can be invested but we do carry some un-invested cash. It was recommended by Kelley, Galloway & Co. to have a discussion with a bank representative for possible investments. Some of these funds have been moved to a credit union that is a State Institution. This type of institution allows for multiple accounts totaling more than an FDIC account in a bank.
- Net assets are up. There has been a concerted effort to make sure people are paying their dues.
- The expenses of the organization are not exorbitant. Bills are consistent and paid on time. Mr. Layne pointed out that we would incur significant legal fees when negotiations for the CSO contract begin. It was suggested by the auditors to begin setting money aside for legal counsel. These fees could run as much as $26K.
- His summary was that the union is very healthy and financially sound.
- Member Joe Gaudio asked Mr. Layne, “There has been some talk of money being diverted or skimmed, etc. Is there any evidence of fraud?” Mr. Layne replied no. He also added that there was a Department of Labor audit in 2009 and they also gave the union a clean bill of health. Mr. Layne explained that most fraud is committed when there is cash involved. There is very little cash coming into the office and almost everything is done by check. Even then, it is the auditor’s job to continually inform the Board how fraud can be committed and does everything it can to keep the Board informed.
III. Bravo Music Update
- President Frankenfeld gave a brief history of the organization, Bravo Music. It is separate from the Cincinnati Musicians Association and was the brainchild of former President, Eugene Frey. The purpose of Bravo Music was to provide concerts and publish music.
- Over the years the organization grew stagnant and with the death of some key officers, John Layne encouraged the remaining Trustees to rejuvenate the organization.
- Current Trustees are Mary Judge, President; Don Hurd, Secretary; Ron Aufmann, Treasurer. They are looking to build the board and focus on fundraising. In looking at the direction they would like to take they will have an educational arm. It appears that they are stepping into the future.
- Jose Mangual reported that the Lexington Philharmonic had finally approved an agreement after two years of negotiations. The new contract took effect September 19, 2014.
- Vice President Barb Lambert reported on the Mid America conference that was held over the past weekend. She informed those present about the work of the political action committee, TEMPO and had membership applications for anyone interested. It was pointed out that TEMPO does not endorse any single political party. It works for the betterment of AFM members.
Joe Gaudio motioned for adjournment.
The meeting was adjourned at 7:52PM