Meeting Notes

Date : July 25, 2016

The meeting began at 12:05.
Participants: Faye Miller, Nikki Schmaltz, Peter Hoistad, Mike Schmitz, Patrick Kautzman, Jim Abbott, Mandy Harlow

OFFICER SELECTION. Mike was selected as president [Motion: Pete; 2nd: Nikki; carried]. Pete was selected to continue as Secretary [Motion: Nikki; 2nd: Patrick; carried].

FINANCIAL. Nikki moved to change account signers to Mike and Pete; 2nd: Peter; carried. Jim will remove the $3 April retirement balance. A travel expense accrual will be booked. Reserves are now at 60% of expenses (the target level). Jim will check on the variance in current & prior year fixed asset values. Check 15476 was not in the transaction register. We will start cutting off the signature area of voided checks. The financials were accepted [Motion: Pete; 2nd: Nikki; carried]. Pete provided a review of his oversight. Overmoe Nelson will conduct the audit [Motion: Pete; 2nd: Faye; carried].

APPLICATIONS. Reinstatement was approved for Gregory Saylor [Motion: Nikki; 2nd: Patrick; carried]. It was noticed that a licensee had been holding out; she has agreed to stop the related activity.

CPE REVIEW. CPE forms is each reviewed as they come in. Mandy does an audit of 10, plus 10 "other state" exemptions. Board members will receive 10 each, for their review, approximately October.

MINUTES (MAY 4). Approved [motion: Faye; 2nd: Nikki; carried].

RULES REVIEW. Jim reviewed the various rule changes agreed to, and those not yet settled. The group discussed the proposed change in the late fee due date. It was agreed that licenses would be made valid July 1 through July 31 (13 months), with the late fee due August 1; CPE period will still end June 30. Jim will revise the rules where needed.
Those short on CPE this year and last year, will be notified of no extension next year [Motion: Nikki; 2nd: Pete; carried].

EDUCATION. Unaccredited college credits are acceptable, if accepted for transfer credit by an accredited school.

RECIPROCITY. Jim had provided a draft response, which will be submitted [Motion: Nikki; 2nd: Pete; carried].

WEBSITE. We will continue as is, hiring assistance with the annual renewal form. There was some sentiment that we should not invest much in the design aspects of the site.

VACATION LEAVE. The Board was agreeable with providing a 5th week of vacation at 20 years of service. Excess at Dec. 31 will be lost, but subsequent accruals of vacation do not stop.

DISCIPLINE REPORTING. The group was agreeable with providing discipline information to the NASBA system, but limited to 7 years of history, and only true discipline action, not relinquishment for lack of payment, etc.

INSURANCE COVERAGE. There was some preference for obtaining a quote from a different vendor. We will check on the coverage provided in the Risk Fund, and whether we are required to participate. If we purchase D&O coverage, it should pay after other coverage is used up.

NEXT MEETING: Nov. 11, Fargo, at 11:30 am. Eide Bailly.

OTHER. A report had been received, regarding multiple Exam attempts.

COMPLAINTS. 2016-2. Mandy and Pete provided background information. There were no engagement letters. The accountant was working for both sides of the transaction. The CPA thought he would drop the collection effort. There has been no further action. Business practice was less than preferred; but nothing unethical was found. The accountant may not have disclosed the potential conflict. The matter will be closed [Motion: Nikki; 2nd: Patrick; carried; Pete abstaining].
2016-3. There was no objection to closing the matter. 2014-4. Jim shared notes that hadn't been included in earlier materials. 2016-4. There is legal action underway, and we will monitor the case, and await its results.

PERFORMANCE & COMP. Mandy left at about 3:07. E.D. compensation will remain at its current level. The group provided input on performance. An executive summary of complaints is preferred, and added attention to the financials; perhaps a board member could review them in advance. Jim represents us well, and is involved. He has done well with the rules review process, and is a good communicator. The group discussed a staffing matter, and talked about pre-retirement notice (2 years seemed fine). Jim will work on a transition issues list.

ADJOURNED: 3:53 pm.