Review of service programs
Review of internationalization of service programs
Exhibit A, p .. 9
*Start Year 90-91 90-91
*Start year normally reflects year that feasibility study will be conducted and not year of full implementation of the strategy.
24:KIBOARD:LRPOV8
EXHIBIT #25 REPORT OF THE BOARD COMMITTEE ON ADMINISTRATION
TO THE MEETING OF THE INTERNATIONAL BOARD OF TRUSTEES January 25-29, 1989
Dates of Connnittee Meeting:
Place of Committee Meeting:
Present: Members:
Chairman:
Others:
January 26-27, 1989 International Office
Robert L. Mccurley, Jr., Eyjolfur Sigurdsson, Kenneth W. Smith, D .C.
C • A • Di 11 on , Jr •
John Merski, Jr., Don Collins, Jim Wann, Jerry Beer, Don Pottenger
Tours of MIS, Supplies, Office Services, and Human Resources
The Connnittee was provided a general orientation/tour of the MIS, Supplies, Office Services, and Human Resources departments. Department heads described
the basic operations of each area.
Status Reports
The Committee briefly reviewed the status reports of the Human Resources, Office Services, Supplies, and MIS Departments and commended staff on its numerous accomplishments and projects.
Operational and Long Range Plans
The Committee reviewed the Operational and Long Range Plans of the areas pre- viously identified. Staff was provided guidance for additions and deletions for both plans in order that refinements can be made in preparation for submission
at the May Board Meeting.
FAX Machine of Kiwanis International Regional Office-Zurich, Switzerland
The Connnittee was informed that a FAX machine has been installed at the Kiwanis International Regional Office, Europe effective December 15, 1988. The FAX number is 011-41-1-55-73-62.
Trav Med
The Committee was informed that the Trav-Med program has been extended to all Board Members and wives without need of notification, as in the past. The insurance agency has accepted a policy revision providing for coverage on an unlimited basis without the need for activating coverage.
Exit Interview
The Committee reviewed the current materials used by Human Resources for the purpose of a final exit interview of persons leaving our employ. This interview is confidential and reviewed by the International Secretary and the Assistant Secretary for Human Resources. Supervisors are involved only at the request of the International Secretary.
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Power "Conditioning"
The Committee reviewed the possibility of purchasing a power "conditioner." In the last few months severe weather conditions resulted in the Kiwanis Inter- national Office being struck by lighting. Our present ground fault protection took the brunt of the strikes and saved many critical areas from damage. With the influx of high tech systems being used, all electrical systems need protec- tion. Indiana Power and Light and other electrical contractors agree. A tran- sient voltage suppression system has been recommended. Additional justification and bids will be gathered for submission at the May Board Meeting.
Kiwanis International Payroll Processing
The Connnittee reviewed the current payroll processing service provided to Kiwa- nis International. Although no contract exists, costs for services with Automa- tic Data Processing (ADP) are expected to be $3,900 this year. Control Data costs and services became expensive and unresponsive. The committee maintains that the new ADP services are satisfactory. As a result of the discussion the committee made no recommendation for change. At this time payroll costs are approximately $1.O8/check, including tax services.
Electronic Vote Counting
The Committee discussed the possibility of electronic vote counting for the Orlando Convention. Staff provided proposals from suppliers of electronic voting machines and ballots currently available. The Committee requested Staff to investigate utilizing the local election machines in Orlando for this purpose.
It was su.ggested that rental of their machines may prove to be beneficial.
Supplies Worldwide
The Committee reviewed Staff plans to provide for a Kiwanis supplies distributor (similar to Harry F. McLean) in the Asia-Pacific area. The Committee requested Staff to research the likelihood of providing a similar service in the European Districts. . Staff will investigate and provide the Committee a P.~eliminary report at the May Board Meeting.
Revision to Membership Record Form
The Committee reviewed copies of the revised form and explained that the disse- mination of complete sets to clubs for all members should be completed by mid- February.
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Requests for Changes ~o the Semi-Annual Billing Process
The Committee reviewed and concurred with the Executive Committee suggested change to the Semi-Annual Billing Statement. Because of prior favorable claims experience, the statement will reflect a credit to the liability insurance rate.
The rate of $2.40 per half-year will be reduced by .30 cents for the next billing period.
The Committee reviewed the proposed change in billing Kiwanis clubs for the
Builders Clubs' sponsor fee. This request was submitted by the Board Committee on Sponsored Programs and would be for the October Semi-Annual Billings. Staff is continuing to review a request to bill Kiwanis clubs for their magazine
subscription for honorary and non-member subscribers on the Semi-Annual Billing statement.
Toll-Free Service
The Committee reviewed the current toll-free service and considered the possibi- lity of including Canada, perhaps as early as October 1. Staff produced basic information that provides for the reduction of a select number of lines
currently not being utilized. By making some minor alterations, the inclusion of Canada on the toll-free service can be done cost effectively. Staff was requested to provide final input for the May Board Meeting. In addition, infor- mation on a toll-free service for European Districts to the Regional Office in
Zurich has been requested by the Committee. Staff will report findings at the May Board meeting.
Telephone Recording
The Committee reviewed the recording system current+Y being used at the switch- board for afte-r-hours telephone calls. It was suggested that the message, currently in English, in.elude a French and Spanish copy on the same recording.
Staff will be utilized to implement these messages on the current recording.
General Liability Insurance Renewai/Transition
The Committee reviewed the transition between the Royal Insurance program to the present carrier CIGNA Corp. All clubs were notified of the transition by the . end of October, 1988. The new program was reviewed and found to have more
extensive coverage at less cost. The initial cost savings was $295,297. In the event our claims do not exceed the predicted average of $270,000, there will be a substantial rebate of premium paid.
Club Kit for Liability Insurance, Including Waiver of Liability Form
As a result of action taken on October 27, 1988, by the Executive Committee;
Wells & Co. has been awarded the responsibility of representing International's interest in ~he area of General Liability insurance, effective November 1, 1988.
CIGNA Corporation is the actual insurance body awarded the policy. Staff was requested at the July and October, 1988, Board meetings to refine an educational risk management kit for club use. The purpose of the kit would be for a con- certed proactive effort to minimize claim experience.
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The Connnittee reviewed the kit giving instruction to have it printed and
distributed for club use. However, the suggested waiver was not acceptable for distribution.
Pension and 401K Revisions
By mid-year of 1989 the plans for the Kiwanis International Salary Savings and Pension Programs will be in need of revision. The actuaries, Mercer-Meidinger- Hansen, have prepared documents with required and/or optional adjustments.
(See Exhibit A) Recommendation #1:
The Committee recommends that the Board adopt the mandatory revisions to both the Salary Savings Plan and Pension Program for plan restatement for the plan year beginning in 1989.
I move that Recommendation #1 be adopted.
(adopted) Finance: None
Proced1.1.re: In Compliance
Additional revisions to the Pension Program are suggested in order to pass discrimination tests yet provide a comparable program that counters inflation without significant Kiwanis International costs. The optional recommendations were provided in part by the Kiwanis International actuaries, Mercer-Meidinger- Hansen.
Recommendation #2
The Committee recommends that the Board adopt the following optional revi- sions to the Pension Plan with an effective date, April 30, 1989:
1. Increase current 1.25%, to 1.50% of Average Monthly Earnings to Covered Compensation
2. Maintain 2. 00% of Average Monthly Earnings above Covered Compensation 3. Require the collection of Birth Certificates or some other acceptable
proof of age from eligible participants
4. Elimination of the 10 year Certain Life Provision S. Place a cap on service of 35 years
6. Move vesting from 10 to 7 years at the schedule of 30% year 3, 50%
year 4, 70% year 5, 90% year 6, 100% year 7 I move that Reconnnendation #2 be adopted.
(adopted) Finance: None
Procedure: In Compliance
-5- Paper Flow Committee
The Committee reviewed the report of the Paper Flow Committee. Included in the report was a recommendation that general announcements to Kiwanis leaders be consolidated into a format somewhat like "The Kiplinger Letter", rather than the present practice which provides for memorandums being on a separate sheet.
Staff will pursue this concept and refine it by the May board meeting.
Request to Exceed Budget, (Account #114-8702-001) to Obtain Additional Disk Drive and to Provide Additional Maintenance Cost
The Committee reviewed a request to exceed the computer maintenance budget by
$2,400. One-half of this request ($1,200) was to provide maintenance for equip- ment procured during 1987-88. The other half ($1,200) was to permit the addi- tion of a used disk drive at the cost of maintenance only. The additional drive will allow continued expansion of information stored on the computer.
Recommendation #3
The Committee recommends that the Board approve the request to exceed the budget by $2,400 for computer maintenance and a used disk drive.
I move that Recommendation #3 be adopted.
(adopted) Finance: 88/89 - $2,400 (Account #114~8702-001)
Procedure: In compliance
Agreements with. Professional Service Firms
At the July, 1987 meeting of the Board of Trustees, a resolution was approved by the Board requiring that a procedure be drawn stating that Kiwanis
International would retain only firms or providers of service willing to
confirm that they or their associated entities would not act against or be in a conflict of interest with Kiwanis International.
Recommendation #4
The Committee recommends that the following procedure be submitted to the Policies, Procedures, and Structures Committee:
#193 - Non-Conflict Agreement with Professional Service Providers
It shall be the practice of Kiwanis International to engage only those pro- fessional service providers who will execute a non-conflict agreement
as approved by the Board of Trustees stating that the provider is willing to confirm that they or their associated entities will not act against
or be in conflict of interest with Kiwanis International or its related bodies. Copies of the agreement will be provided to such firms, and
the original maintained by the International Secretary.
I move that Recommendation #4 be adopted.
(adopted) Finance: None
Procedure: Refer to Policies, Procedures, and Structures Committee
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Camera Purchase
At the October 1988 Board Meeting Staff was provided with $5000 to purchase a video camera for use in future educational and training projects. In addition, taping could be made of such items as the Governors-elect Conference, Council, etc. in house. Staff investigated the purchasing of equipment and recommended securing a higher grade camera, tripod, microphone holder, adaptor power module and cable, and lavalier microphone to provide a quality video production. In order to accomplish this, an additional amount of $3381 is needed.
Recommendation #5
The Committee recommends that an overexpenditure for the 1988/89 capital budget of $3381 for the purchase of additional video equipment be approved.
I move that Recommendation #5 be adopted.
(adopted) Finance: 88/89 Impact $338
Procedure: None
International Administration Committee Chairman Comments
The Committee reviewed the report of the International Administration Committee Chairman and commended his work and suggestions provided.
Respectfully submitted,
ROBERT L. MCCURLEY, JR.
EYJOLFUR SIGURDSSON KENNETH W. SMITH, D.C.
C.A. DILLON, JR., Chairman
EXHIBIT A
A copy of the Tax Reform Act and Other Legislative Requirements for the Kiwanis International Employees' Pension Plan and Salary Savings Plan is included in the International Secretary's official minutes.
It is not included in your copy of the minutes but is available upon request from.the International Secretary.
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