Phoenix Earth Food Co-op (PEFC)
Minutes, Board Meeting 07/23/2014

Location: Main branch of Toledo-Lucas County Public Library, 325 Michigan St., Toledo, OH 43604; Present: Board members Sándor Halász, Will Mellon, Nichole Nauden, Sean Nestor, Hermann von Grafenstein. Also present were Helen Elden(interim General Manager), Sean Fitzgerald (Assistant Store Manager), Sasha Hulisz (Marketing) and Monique Tressler (from All-Things-Food). Absent: Board members Shelly Boraby, Thomas Fine, Alyx Kendzierski and Anita Levin. Resolutions are numbered R1–R6.

The meeting began at 5:40 pm.

  1. Local Orbit System
    Hermann presented the Local Orbit system, a software system that connects consumers with local producers. Monique Tressler, also present at the meeting, explained logistical details. Monique is currently running All-Things-Fooda marketplace that that allows producers to offer products on line, and consumers to order on line and pick up products at the physical All-Things-Food store. If adopted, The Co-op would perform a similar function as All-Things-Food. The Board voted to recommend trying out the Local Orbit system (R1, 5/0/0for/against/abstention).
  2. Minutes
    The minutes of the 6/25/2014 board meeting were approved (R2, 4/0/1).
  3. Jackson Loan
    Helen reported that papers of the lawsuit had been presented to her. She was planning follow up with Attorney Scott Ciolek.
  4. General Manager Search
    Sean Nestor reported that the Executive Committee had met to discuss details of the GM search. During that meeting a job description had been adopted, which was based on a 1998 document. At the present meeting vote was passed to establish a search committee. Members would be recruited by email (R3, 5/0/0). Nichole suggested formulating standardized questions for the job interviews. The Citi Paper, the Toledo Free Press and in the Blade were considered for placing advertisements. Language for a job advertisement, developed by Hermann, was approved (R4, 4/1/0).
  5. General Manager’s Report
    Helen (Co-GM) presented the General Manager’s Report. A brief discussion was held about a Point-Of-Sale system.Co-op staff member Sasha Hulisz expressed her strong support for adopting a POS system. Helen mentioned that the NCGA offeredfree consulting services. To utilize these services, the Co-op Board and management need to fill out the NCGA Member Statement of Interest Form.
  6. Finance Committee Report

    Financial report: Tom had submitted the Financial Report by email. Sean briefly summarized the report. Our overall cash position was improving.

    Lease negotiations: Tom had continued negotiations with landlord Royce Haddad. Tom had proposed to Royce the following numbers for a 3-year contract:

    Year 1: No rent, but property taxes,

    Year 2: $337.50 per month + taxes,

    Year 3: $625 per month + taxes.

    Royce had made the following counteroffer:

    Year 1: no rent for the first 6 months, $375 for the remaining 6 months,

    Year 2: $450/mo,

    Year 3: $700/mo.

    The Co-op would have to pay taxes during all 3 years. At least 80% of rent abatement should be used for property repairs and maintenance and not for paying past due debt or current operating expenses. Such repairs should include the parking lot, the back door canopy, back corner roof repair and remediation of basement water intrusion. The landlord should receive semiannually description of repairs and receipts of completed repair work. Helen argued that the planned repair work would likely be more expensive that the savings we would receive from the rent abatement. Hermann argued that the repair work would increase sales and as such be a good investment.

    Current Profit and Loss statements: Hermann briefly presented the May and June Profit and Loss Statements with comparisons with the previous year. There had been a significant drop of personnel expenses, no checks were being held and there was a net profit of $3,500 during June. Sean Nestor expressed his enthusiasm about this turnaround and Hermann noted that this was a significant achievement, although sales were decreasing.

  7. Outreach Committee

    Will Mellon presented the Outreach Committee report for the month of July. A meeting had been held on July 8. Plans were discussed for the following upcoming events:

  8. Annual Meeting

    The date of the Annual Meeting was set to Sunday, Oct. 12 at the Augsburg Lutheran Church, with Oct 19 at the same location if Augsburg Lutheran Church is not available on Oct 12 (R5, 5/0/0).

  9. Adjournment

    The meeting was adjourned at 7:40pm (R6, 5/0/0).

    Date of next meeting: Wed 8/27 if not decided otherwise.

__________________(signed)___________________
Submitted by Hermann von Grafenstein, Secretary