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Parker Smithc/o Kiwanis District Office P.O. Box 6369
Oakland, Califomia 94614 Dear Parker,
Exhibit F (2)
May 16, 1980
As you will notice when you receive our print-out, there isn't a check attached. The reason for this is that we are broke, not only broke but we have a $2500 note at the bank. The reason for the note was to buy
Christmas trees and sell them for a money making project last Christmas.
Well_, the project was a success - however, our president Sid Leong, collected all of the proceeds from this project and to date the club hasn't seen Sid or the money. Since that time Sid has resigned as pres- ident and Stan Ambrose, our Vice President, has taken the helm. We have written several registered letters and made numerous phone calls to Sid, with no response. We are now looking into the possibilities of prosecution. Any assistance you could give us in this matter would be greatly appreciated. We do have a strong nucleus of 13 members who are striving to get the club back on it's feet financially. Please be patient with us.
Mahala,
Michael Karla
Lahaina Club Secretary
cc; Kiwanis International
Lt. Governor, Victor Inglott
Exhibit G
FY 1979-80 Budget Adjustment Report
Prior to the April 1980 Board of Trustees Meeting, the Kiwanis International budget reflected a $22,042 surplus financial
position. During the course of the April 1980 Board of Trustees Meeting, .the following budget adjustments were authorized:
03-107-10 10-110-05 03-201-01 03-201-02 03-201-03 03-178-03 05-130-02 13-156-01' 01-108-08 03-107- 12-215-16 16-106-03
Delaware Apartment Car Allowance
Construction Material Transportation
Cleaning Material Offset Press - Lease
Asia-Pacific Con£. Subsidy Audio Visual
Standard Form Dist. Bylaws Asst. Building Engineer Simultaneous Translation Purolator Courier
Salary Adjustments
(Markarian, Kinkade, McNary) Total Adjustments
Previous Budget Balance Adjustments
Current Budget.Position
$
4,500 175 1,000 3,500 100 5,500 5,564 15,000 815 4,950 6,000 850 2,670$50,624
$22,042 50,624
$ (28,582)
Exhibit H - Page 1
Authorized Signature policy of Kiwanis International The following are authorized signatures:
President Treasurer Secretary
Executive Director Director of Finance
Assistant Secretary Operations Assistant Secretary Growth
Assistant to International Secretary
Number of signatures required to withdraw funds: Any two of the above.
Exhibit H - Page 2
4.
Banking Methods a. Bank AccountsThe following bank accounts shall be established and maintained:
Account Title
United States Depository
Canaaian Depooit0r¥
Funded Reserve
i
Building Reserve
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Puq~ose
These shall be established in Chicago and all receipts from whatever sources within the United States shall be de-
posited in them. Expenditures shall be made from the U.S. Depository for the maintenance and operation of current accounts.
unt
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whatever . shall be
deposited tures shall
be made f Depository for
urrent
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To these accounts shall be deposited (1) such portion of surplus as may be approved by t Board at the end of each f. al year,
and (2) om the in-
vestment o such reserve ac unts. Expen- diture shall e made fro this account only upon direct app on by the Board of Trustees.
To this shall deposited funds to be used any contingen · s that may arise,
amou s approved by the B Expendi- all be made from this ace nt only
appropriation by the B rd of
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Signatures Required
Coun Co Di
Sig..-.art h u •
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Treasurer or
Executive
Assistant the
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Account Title United States Current
Payroll
Employees Savings Bond
Employees Cafeteria Fund
Canadian Current
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Pureose
This shall be the current operating account for all disbursements pertain- ing to the operations within the United States except payroll expenseso ~
ace ount -'hall be r er,leui~hed · bj' eheelcs erttwn on the U.S. Deposito'f'y }.eeounts to
\ sueh aR amount a~ will maintai:a tl:li:..
account at not more than $12§,000.00 This shall be a payroll operating account for all salaries and wages of employees on the General Office Staff. This account shall be supplemented by checks drawn on the U.S. Current Account.to st1eh an amotirrt as uill maintain t:ho 1c1n01cp0naea ealanee of
\this aee01c1nt at ngt mor~ tb~n $5,000 00 Amount of deductions from employees salary checks for the purchase of Savings Bonds shall be deposited in_ this account. Ex- penditures shall be made from this account only for its direct operation.
To this account shall be deposited receipts from whatever sources for the Employees Cafeteria Fund. Expenditures shall be made from this account only for food, beverages, and supplies.
This shall be the current operating account for all disbursements pertaining to the operation within Canada. This account shall be replenished by checks drawn on the Can- adian Depository Account to such an amount as will maintain this account at not more than $10,000.00.
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Signatures Required
rsigned by:
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Account Title Bank in Convention Host
City Registration Fee Depository
Key Club International Depository
Puq~ose
Registration fee fund~ shall be de- posited in this account.
To this account shall be ·deposited all receipts from Key Clubs for dues or income from registration fees.
Expenditures shall be made from this account only for its direct operation.
Exhibit H - Page 4
Signatures Required
rvices or aa~inistr~tor of
---~---
Circle K International
Depository To this account shall be deposited all receipts from Circle K Clubs for dues or income from registration ·fees.
Expenditures shall be made from this account only for its direct operation@
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Pension Trust Insurance Policies
Safekeeping
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Account Title
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Pension Trust Account Safekeeping Securities
Service
European Depository
Philippine Operating
Argentine Operating
Colombian Operating
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Exhibit H ·- Page 5 PurposeRefunds on premiums of policies cancelled and payment on death benefits shall be de- posited in this account and the accumulation after proper individual disbursements shall be applied to succeeding premium payment.
Expenditures shall be made from this account only for its direct operation
To this account shall be deposited all receipts from European Clubs for all Kiwanis International
£inancial obligations. Disbursements shall be made from this account for operations within Europe.
To this account shall be deposited receipt~
from Philippine clubs for all Kiwanis Inter- national financial obligations. Disbursements shall be made from this account for operations w_ithin the Philippines
To this account shall be deposited receipts from Argentine clubs for all Kiwanis Inter- national financial obligations. Disbursements shall be made from this account for operations within Argentina
To this account shall be deposited receipts from Colombian clubs for all Kiwanis Inter- national financial obligations.' Disbursements shall be made from this account for operations within Colombia
~ Signatures Required
Signed by:
President
Treasurer or the Secretary
ssistant troller
Kiwanis
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·FOREIGN . COUNTRIES
Exhibit H _ Page 6
In foreign countries where monetary restrictions prohibit direct payments to Kiwanis International, an account shall be established by the District Governor for the collection and use of these dues by Kiwanis International.
In non-districted areas, the ranking Kiwanis official, as appointed by Kiwanis International, will assume this responsibility.
SUMMARY
MEETING OF THE BOARD OF TRUSTEES KIWANIS INTERNATIONAL FOUNDATION
Exhibit IJ12
The Board of Trustees of the Kiwanis International Foundation convened on Saturday, June 21 and Sunday, June 22 in conjunction with the 65th Annual Convention of Kiwanis International, June 22-25, 1980, Anaheim, California.
Kiwanis International Foundation Board members present were: Roy W. Davis, President; A. Frederick Rosen, Vice President; Carl A. Heldt, Secretary-·
Treasurer; and Trustees Ralph C. Keyes, Donal.cl IW. Goodfellow, Marshall W.
McCann, Charles M. Roberts, Mark A. Smith, Jr. (Sunday session only), and Hilmar L. Solberg. Trustee Merald T. Enstad was unable to attend.
Also in attendance were: Gerald R. Jindra, Administrator; Jeffery A. McNary, Acting Director of Finance, Kiwanis International (Saturday sas$ion only);
R. P. Merridew, Secretary, Kiwanis International (Sunday session only);
P. N. Hanly, Executive Director, Kiwanis International (Sunday session only);
and H. Lee Powell, Jr., Past Trustee, Kiwanis International.
1) It was announced that the next two full meetings of the Boumdation Board would be October 3, 1980 (in conjunction with the Kiwanis International Council Meeting) and January 29, 1981. Both meetings will be held in Chicago, Illinois.
2) The Board voted to approve and adopt, in principle, the acquisition.of an additional employee to direct and promote the Foundation's Estate Planning Program on a full-time basis. The Executive Committee, wfth the assistance of staff, were directed to research the expenses and potential income for the Foundation as a result of this decision.
3) A report on the current Birthday Campaign of the Foundation was reviewed by the Boarld, noting that as of June 20,$196,440.27 had been received, as compared to $198,854.72 for the same date a year ago. It is estimated that over $200,000 will have been received by the end of the current eampaign on September 30. It was also reported that the cost of promoting the 1980 Campaign is $21,388.57.
4) Approval was given to conduct a 1981 Voluntary Birthday Gift Contribution Plan Campaign, and several methods for stimulating increased contributions
were discussed. It was noted that the Foundation receives a campaign contribution from 74% of all clubs in the US and Canada.
5) The Comparative Statement of Additions. and Deductions. and th.e B.alance Sb._eet of the Kiwanis International Foundation were examined b.y the B.oaJ;"d, noting that, as of May 31, total additions from contributions and interest amounted to $287,050.10. Total Assets were reported to be $786,803.55 as compared to
$724,267.60 for the same date in 1979. The Board also adopted a new per diem policy providing: (1) full reimbursement for travel expenses for each Board member and wife; (2) full reimbursement for the cost of a standard room for Board member and wife; and $25.00 per diem to cover meals and incidentals.
This policy takes effect beginning with the 1980 Kiwanis International Convention.
6) Staff was instructed to provide Kiwanis International Board Counselors with information and suggested comments relative to the F.mundation. This material should be provided to these members of the Kiwanis International Board of Trustees with a covering letter suggesting that the information be used
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during their district convention speeches to promote the Foundation.
7) The Board approved a plan whereby the President of the Foundation shall appoint members of h:ii.s B'oard as counselors to selected Foundation district coordinators.
8) It was reported that the Kiwanis International Foundation Hearing Research Project laboratory was recently moved to larger quarters within Mercy Hospital and Medical Center, Chicago, Illin0is. The Infant Hearing Screening Program aspect was also discussed, noting that a new prototype testing unit was being developed by the laboratory. Initial testing of the new screening unit for newborn infants is scheduled to begin this summer. The first two screening units field tested by the laboratory proved impractical and unreliable.
9) The Board voted to grant a sum, not to exceed $18,000, to the Hugh O'Brian Youth Foundation for the production and dissemination of promotional materials
in support of their 1980-81 leadership seminar program.
10) A scheduled review of a request from the Children's EJ.esight Society, originally brought before the Board in April, was tabled until the October meeting to
allow a more complete discussion.
11) The Administrator reviewed for the Board the current progress in tiha deyeiliopment of an Estate Planning Program for the Foundation. It was noted that the
Administrator had attended an Estate Planning/Deferred Giving Seminar sponsored by the University of Detroit and had acquired various support material, including sample promotional material used by other organizations. Aside from the
preparation of two articles on the subjedt which will appear in the Foundation Newsletter and KIWANIS magazine respectively, the Administrator hoped to publish the Foundatio.ns' first brochure on the subject in the coming months.
12) The Board reviewed a request from Project Concern International for a grant of $10,000 to pay for a portion of their new headquarters buildihng which will house their Walk for Mankind staff. The Board voted to decline the request in light of current commitments and budgetary limitations.
13) A $5,000 grant to. ·Fre~doms Foundation at Valley Jvorge was. approved.. Th_e g:r;ant is to be made payable after October 1, 1980..
14) Article IV, Section 4 of the Bylaws of the Foundation were amended to eliminate vote by proxy, but to allow business by mai.l and by telephone conterence~
15) The following officers and members of the Kiwanis International ~oundation were selected for 1980-81: Roy W. Davis, President; Harry S .. Himmel, I:mmediate Past President; Ralph C. Keyes, Vice President, Carl A. Heldt, Secretary-·
Treasurer; H. Lee Powell, Trustee (1980-82); W. Donald Goodfellow, Trustee (1980-82); and Carl A. Heldt (1980-82).
16) A Resolution of Appreciation was presented to Vice President A. Frederick. Rosen as he completes his second two-year term as Trustee of the Foundation, and retires as per Bylaw provisions.
17) finally, the Board adopted a Resolution of Confidence and Appreciation for International Secretary R. P. Merridew as he enters his final year as director of the General Office.
Exhibit 1113
REPORT OF THE COMMITTEE OF PAST PRESIDENTS
TO THE MEETING OF THE INTERNATIONAL BOARD OF TRUSTEES June 26, 1980
Date of Committee Meeting: June 20, 1980
Place of Connnittee Meeting: Anaheim, California
Present: Members - Lorin J. Badskey, Wes H. Bartlett, Reed C. Culp, Roy W. Davis, William M. Eagles, M.D., Donald T. Forsythe, Maurice Gladman, T. R. Johnson, Edward C. Keefe, James M. Moler, Ted R. Osborn, Hilmar L. "Bill" Solberg, Charles A. Swain, Merle H. Tucker, Albert J. Tully, Robert F. Weber, and I. R. Witthuhn
Chairman - Stanley E. Schneider
Absent - H. Park Arnold, Harold M. Heimbaugh, Fred G. McAlister, Q.C., Walter J. L. Ray, Donald B. Rice, J. O. Tally, Jr., and
0. E. Peterson (Honorary Member)
The Committee of Past Presidents held two sessions and 18 Past Presidents were in attendance.
Following the call to order by the Chairman, the invocation was given by Past President William M. Eagles, M.D.
The Chairman informed the Committee that he ~ould send appropriate messages to those who were unable to attend.
' -
The agenda for the meeting was adopted by the Committee and the Minutes of the September 30, 1979 meeting were approved as submitted. The new expense reporting procedures were explained to the Committee by staff.
Expenses allowed for District Governors to present New Club Charters:
The Committee was informed that Kiwanis International Board Policy allows for reimbursement of $110 to a District Governor or his representative to present a charter to a new Kiwanis club. When extenuating circumstances exist, an additional amount, not to exceed $200, can be provided for travel expenses. The 1979-80
budget provides $27,600 to care for these expenses.
During its April, 1980 meeting, the International Board decided to change policy, effective with the 1980-81 administrative year, and no longer provide reimbursement to Governors and their representatives to.charter new Kiwanis clubs. The amount 1 for this purpose in the 1980-81 budget was $31,740.
The Committee agrees that the expenses for chartering new Kiwanis clubs should be borne by the individual districts and is in accord with the action of the International Board.
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Delinquencies of Overseas Kiwanis Clubs:
The Conrrnittee received a report listing the delinquencies of overseas Kiwanis clubs, and the Assistant Secretary for Growth, Robert M. Detloff, was asked to comment.
The Assistant Secretary told the Committee that, in many cases, long-term
delinquencies will never be collected as they were incurred by Kiwanis clubs that no longer exist. He noted that many delinquencies are related to clubs that are in countries that have monetary restrictions and need special attention by the General Office.
Members of the Conrrnittee were of the opinion that extension into new countries should not be considered by the International Board until all necessary financial arrangements have been planned to eliminate future problems, which are reflected in the continuing overseas delinquency list.
The Committee expressed its concern that districts are being given the right to request how they want to handle payment of International dues and other accounts receivables, and the Committee noted that, during the April, 1980 meeting of the International Board, a policy was adopted that allows districts to adopt the Australia District accounts receivable management proposal upon request.
Recommendation #1:
The Committee recommends that the International Board reevaluate its action of April, 1980, which allows districts to adopt the Australia District's accounts receivable management procedures and also recommends
that the International Board develop a comprehensive plan for the collec- tion of International dues and all accounts receivable, which will be applicable worldwide.
Remarks by the President-elect:
Kiwanis International President-elect Merald T. Enstad told the Committee that he anticipated that 1980-81 would be an outstanding year for the organization. He noted that the budget for 1980-81 will be tight and that efforts are being made to reduce expenses.
The President-elect informed the Committee that an attempt will be made to have members of the International Board cover two districts during an official visit and
that a member of the Board will be sent to each of the districts in Kiwanis Interna- tional - Europe in 1980-81.
The President-elect called upon the Committee to feel free to offer its suggestions and comments at any time, and he told the Committee that its support and active interest will be most important in the administrative year ahead.
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Remarks by the Executive Director:
The Executive Director of Kiwanis International, P. N. Hanly, told the Committee that the cash/credit card sales system for the General Office Supplies Department, to be effective with the 1980-81 administrative year, will simplify ordering and payment for the organization. He indicated that it will reduce correspondence and accounts receivable problems at the club level and will reduce problems and the work load of the General Office. He noted that credit cards can be used for ordering, especially for telephone orders, and he also told the Committee that
the new system will encourage orders from members as they will no longer have to request supplies through their club presidents and secretaries.
The Executive Director informed the Committee that the United States Jaycees and Civitan International converted to a cash/credit card system with great success and that the sales of the Association of Kinsmen Clubs increased by 26 percent in 1976 when that organization made the conversion.
The Committee was informed that it is planned for the title "International Secretary" to be replaced by the title "Executive Director" upon the retirement of the current International Secretary R. P. Merridew. This will require
appropriate changes in the Kiwanis International Constitution and Bylaws at the 1981 New Orleans Convention.
The Executive Director noted that the International Board,.during its April, 1980 meeting, authorized the Board Committee on Property and Supplies to review
prospective sites for relocation of the General Office and that specific criteria for a future site have been developed and submitted to the International Board.
The Committee was informed that the Board Committee on Property and Supplies
visited Dallas, Texas in May, 1980, and that the International Board has authorized further study of the Dallas area for a possible location. He also informed the Committee that substantial offers have been made for the current General Office Building, and the International Board anticipates that revenue from the sale of this property will finance relocation.
The entire International Board plans to visit the Dallas, Texas site on July 31, 1980, and the Committee will be informed as to the outcome of this special session.
The Committee expressed its concern that decisions be made in a reasonable length of time so current financial considerations will remain valid and thanked the Executive Director for his excellent presentation.
Recommendation #2:
The Committee wishes to convey its encouragement and support to the International Board on its study of the possible relocation of the Kiwanis International General Office.