HomeMy WebLinkAbout1986-01-08HUNTINGTON BEACH PUBLIC FACILITIES CORPORATION
MINUTES
SPECIAL MEETING OF JANUARY 8, 1986
The Special Meeting of the Public Facilities Corporation was called to order
by Mr. Kiser, Secretary of the Board, at the City of Huntington Beach
Corporation Yard, Huntington Beach, California at 3:05 p.m. on January 8,
1986.
There were present from the Board:
Faber Newman Wamhoff Wight
Also attending:
Dan Villella, Financial Operations Administrator
Donald W. Kiser, Assistant Secretary
Terry Dixon, Corporate Attorney for the HBPFC
Arthur De La Loza, Deputy City Attorney
Court Reporter
The meeting was called to order by Mr. Kiser, Secretary of the Board. Roll
call was taken as recorded above. The first order of business was the
selection of a Special Meeting Chairperson. Motion was made, seconded and
passed unanimously for Mr. Wight to be the Chairperson.
Mr. Wight called for the next item on the agenda. This was the acceptance of
the resignation of President D. L. Nowlin. With regret, motion was made,
seconded and passed to accept Mr. Nowlin's resignation. The Board requested
a plaque and letter of appreciation be presented to Mr. Nowlin for his service
to the Board.
Motion was made, seconded and passed to acknowledge receipt of Resolution
No. 5606 of the City of Huntington Beach. Mrs. Faber questioned whether or
not the Board should act upon the above mentioned Resolution, since this was
a Special Meeting of the Board, and the Directors were to act only on those
items on the agenda. Mrs. Faber called to the attention of the Board an Amend-
ment to the By -Laws of the HBPFC, dated October 29, 1975. Any elected Director
or appointed Director shall serve as a duly elected or appointed .Director, and
as a member of the Corporation, until a receipt of a Resolution of Disapproval
has been received and acted upon by the Board of Directors of the Huntington
Beach Public Facilities Corporation. All actions of any elected or appointed
Director shall be valid until such time as the Board may effect removal by a
majority vote of those members of the Board, excluding the affected Director.
After discussion, Mr. Dixon reco►rmended the Board not act upon Resolution
No. 5606, since the agenda stated received and not received and acted upon.
He did suggest to the Board that this be a matter acted on as soon as possible
at the next meeting, and before taking any other actions. Therefore, the
Resolution was acknowledged as received, and will be acted upon at the
January 29, 1986 meeting.
Motions were made, seconded and passed to elect the following Officers to the
Board:
Mr. Wight President
Mrs. Newman Vice President
Mrs. Faber Secretary/Treasurer
The above Officers are to serve on the Board for a terra of one year. At that
time, new Officers will be elected.
Mr. Villella stated that the Trustee for the HBPFC is Bank of America. He
explained the Treasurer's Report to the Board. The Financial Report is received
from Bank of America, and it is then recorded onto the City's format. He
informed the Board that as a part of the City's audit, the City has independent
auditors conduct at audit of the Financial Statements of the HBPFC. He also
remarked that if the Board so desired, the format for the 'treasurer's Report
could be changed. A copy of the Financial Rex)rt is sent to the HBPFC
Secretary/Treasurer by Bank of America, as well as a copy of the report from
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the City, after it is recorded onto the City's format. Thereby, creating a
check/balance situation. Mrs. Faber felt this was an excellent means by which
the bank's report can be checked against the City's report.
Mrs. Newman asked the difference between the duties of the IIBPFC Directors and
those of the Trustee. Mr. Villella replied that the Trustee's only function
is to maintain a custodianship of funds, records and transactions of the
Corporation.
After the Board discussed the functions and responsibilities of the Trustee,
it was suggested that the Trustee from Bank of America might be invited to a
meeting. Mr. Wight suggested assigning study tasks to each Director regarding
these various areas. Mrs. Faber and Mrs. Newman will investigate the various
functions and responsibilities of the Trustee and report back to the Board
their findings.
Mrs. Faber suggested that Warren Hall be invited to a PFC meeting to speak on
PFC investments. The Board expressed much concern as to the PFC investments,
the duties and responsibilities of the Directors toward these investments, and
their obligations as landlords. Mr. Wight expressed concern over what options
the Board has for the use of excess funds. Mrs. Newman and Mrs. Faber will
meet with Mr. Hall and Mr. Villella regarding this.
Mr. Wamhoff gave a brief history of the Board, stating that the buildings have
been built and are now occupied. The lease payments come in as required. The
bonds are releaved as required. He suggested that the surplus money be used
to purchase bonds, in order that this quasi corporation could be releaved
earlier. Discussion ensued regarding the bonds and the Civic Center and
Central Library buildings.
Mrs. Newman brought up a question of whether or not the Corporation's tax exempt
status is in jeopardy because of the three million dollars in excess funds.
Also, she questioned whether there are rules and regulations that state how
much of a surplus the Corporation is permitted by law, and does this surplus
jeopardize the bond holder. Mr. Dixon stated that this could potentially be a
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problem, but he had no reason at this time to say that this is the case. With
a large surplusl it is worth looking at, since arbitrage becomes the issue.
Mr. Wight will check into the above, as well as insurance.
After- discussion, the Board decided to schedule a walk-through of the City
Facilities after a full Board is selected. Mr. Kiser will arrange the
walk-through at that time.
The Board discussed having an appreciation plaque made for Directors leaving
office. Motion was made, seconded and passed for the plaques to be the
responsibility of the Corporation. The former Director is to be invited to
the meeting, presented with the plaque and refreshments are to be served.
Mrs. Newman requested that a letter be sent to Mr. Thompson, City Administrator,
making a formal request from the Board Members that the PFC Directors, when
resigning from the.Corporation, be publicly acknowledged for their service at
a City Council meeting in an appropriate manner. After discussion, motion was
made, seconded and passed to send the letter to Mr. Thompson, the City Council
and the City Clerk.
The Board requested advertising for the replacement of Mr. Nowlin. The official
posting and advertising will be done by Mr. Kiser. A Special Meeting was
tentatively scheduled for 4:00 p.m. on February 12, 1986, to interview for a new
Director to replace Mr. Nowlin.
Mrs. Faber suggested that at the next meeting, the Board should decide whether
to meet every month or every other month.
Mr. Wamhoff suggested the Board have the Corporate Attorney present at every
meeting. This was discussed, then Mr. Wight requested the Attorney be present
at the next meeting.
Mrs. Faber requested that the Minutes reflect the presence of a Court Reporter,
who was present at the request of the City Attorney.
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The meeting was adjourned to the next Regular Meeting at 3:00 p.m. on Wednesday,
January 29, 1986, to be held at the Civic Center, 2000 Main Street, Huntington
Beach, California.
ACCEPTED:
Step n Wight
President
Respectfully submitted,
01A 4, /;. �� �
Mary 4 Jen "ns
RecorcUng Secretary
XLoaine Faber
Secretary/Treasurer
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