Meeting Minutes - LANC Board of Directors
July 26, 2002

(Orientation Meeting)
Site/Location: Ramada Inn Blue Ridge/Raleigh, NC

Opening and Welcome
Pender McElroy called the meeting to order at 9:10 a.m. He welcomed the board members and provided an update on Transition Board activities. The Transition Board completed its work as of June 30, 2002. Mr. McElroy expressed appreciation to all the Transition Board members and to staff for their dedication and fine work. Mr. McElroy commented about the important responsibilities of a Legal Aid board member and the challenges ahead for legal services programs.

George R. Hausen, Jr. gave a brief welcome and an overview of the agenda topics. He introduced Patricia Pap, Executive Director of Management Information Exchange, as the facilitator for the orientation. Ms. Pap welcomed the board to their first orientation meeting. She asked the members to introduce themselves and share some brief personal history.

Members Present:

Reid "Cal" Adams

Willie Dawson

Pender McElroy

Leo L. Allison

Richard E. Fay

Pearl Nealey

Glenn A. Barfield

Mary Flowers

Rhonda Shepherd

Susan Cole

L. Lynnette Fuller-Andrews

Laura Shofner

Leto Copeley

Hada V. Haulsee

Bonnie Tatum

Burton Craige

Allen Johnson

John H. Vernon, III

Sarah Davis

Scott Lewis

Charles "CR" Ward

Willis Williams

Members Absent With Prior Notification:

David D. Daggett

James B. Maxwell

Allyson K. Duncan

Frank G. Queen

Administrative Office Staff Present:
Chris Marks, Assistant Director, Administration & Finance
Bernetta Johnsson, Finance Director
Dock Kornegay, Manager, Public Relations & Development
Celia Pistolis, Assistant Director, Advocacy & Compliance
Melinda C. Smith, Human Resources Manager
Paula Spence, Office Manager

Other Staff Present:
Lewis Pitts, Senior Managing Attorney, Advocates for Children Services, Raleigh
Gina Reyman, Senior Managing Attorney, Durham & Hillsborough Offices
Millie Rogers, Administrative Assistant, Pembroke office
Delsie Williams, Client Council Member

Mission and Vision
Mr. Hausen stated that the mission of Legal Aid of North Carolina is to serve clients--to provide quality services to eligible clients in the state of North Carolina. Legal Aid offices currently serve clients in all 100 counties in the state of North Carolina. Legal Aid houses 25 offices with approximately 225 staff members, approximately 100 of whom are attorneys. In 2001, 16,000 eligible clients received legal assistance. Legal Aid’s goal in 2002 is to serve more than 16,000 clients. There are approximately 1.2 million eligible clients in the state of North Carolina, with one lawyer for every 15,000 eligible client. There are five regions and 25 offices, Northeast: Ahoskie, Greenville, Goldsboro, New Bern, Rocky Mount, and Wilson. Southeast: Fayetteville, Pembroke, and Wilmington. Triangle: Durham, Hillsborough, Raleigh, Sanford, and Smithfield. Triad: Greensboro, Lexington and Winston-Salem. West: Asheville, Boone, Charlotte, Concord, Gastonia, Monroe, Morganton, and Sylva.

Mr. Hausen stated that budgets would be established through the regional structure. The Legal Aid board will set priorities for the Legal Aid offices, and local communities will establish local case acceptance priorities. The local offices will be responsible for those needs in their communities. Legal Aid will build the capacity all over the state to serve the needs of each eligible client who seeks services. Each Legal Aid office will have a client-friendly intake system that will assist all eligible clients seeking legal assistance.

Celia Pistolis gave a brief overview of the intake system, describing how a client would apply for services. Ms. Pistolis reported on the administrative functions and responsibilities related to compliance. She stated that community education and outreach, private attorney involvement, and the Volunteer Lawyers Program are essential to providing assistance to eligible clients. She also stated that training is necessary to ensure that clients receive proper assistance. Staff receives legal and professional training as part of the various task force groups that meet three times annually. The task forces are Public Benefits, Employment, Education, Family, Consumer, Housing, CED (Community Economic Development), and Support Staff. Also, she discussed the importance of fundraising.

Mr. Hausen explained the organizational structure of Legal Aid by using the organizational chart in the board orientation notebook. This management structure will ensure that the organization focuses on providing service to clients with properly trained staff. Mr. Hausen also reported that there are four special provider groups directly working with Legal Aid of North Carolina: Advocates for Children Services, the Domestic Violence Initiative, the Environmental Poverty Law Project, and the Farmworker Unit. He further explained the role and responsibilities of the North Carolina Clients Council in the organizational structure.

Pender McElroy tabled a discussion regarding diversity of the senior staff at the Administrative Office and this matter will be discussed at the next board meeting.

Financial Status of Legal Aid of North Carolina
Chris Marks reported on the financial status of Legal Aid of North Carolina. He explained roles and responsibilities of the financial staff in coordinating and managing 18 different budgets. He stated that the financial transition of the four programs into Legal Aid has been very successful due to local administrative staff and the administrative office staff. Mr. Marks discussed the state of financial operations, including revenue, funding sources, operating budgets, financial challenges and opportunities, and fundraising efforts for the organization. He explained to the board that one of their responsibilities is to review and approve an annual budget and an annual audit.

Responsibilities of Non-profit Boards
Patricia Pap explained the duties and responsibilities of a non-profit board member. She discussed how the board does much of its works in committees as well as in full board meetings. Committees of the board can include an Executive Committee, Nominating Committee, Audit Committee, Client Grievance Committee, Ad Hoc Committees, and other standing committees. Board member participation includes attending meetings, providing leadership, reviewing materials presented prior to a scheduled meeting, and recruiting and orienting new board members. She further explained that board members must understand the services provided by Legal Aid and the importance of setting goals for the organization. Also, members must be knowledgeable about Legal Services Corporation Regulations covering governing bodies and their appointments, functions and compensation. These Regulations set out requirements for the day-to-day operations of the organization, such as appeals on behalf of clients, use of non-LSC funds, transfer of LSC funds and program integrity, priorities, client grievance procedure, eligibility, and private attorney involvement. The board is responsible for adopting policies and procedures to ensure compliance with these Regulations. Following Ms. Pap’s presentation, board members divided themselves into smaller groups to address questions relating to board development and planning.

Legal Aid of North Carolina Business Meeting
Pender McElroy called the business meeting to order. He stated that the Transition Board appointed a Nominating Committee with Rick Fay designated as the chair of that committee. Mr. McElroy recognized Mr. Fay to give the report of the Nominating Committee.

Formation of Board Standing Committees
Mr. Fay reported that the other members of the Nominating committee are David Daggett, Rhonda Shepherd, Allen Johnson, and Burton Craige. The committee’s charge was to propose nominees for the four officers required by the Bylaws as well as two at-large Executive Committee members. The Nominating Committee unanimously recommended the following slate of officers for the Board to consider for approval: Pender McElroy, Chairman; Leo Allison, Vice Chairman; Jim Maxwell, Treasurer; and Cal Adams Secretary. The two at-large Executive Committee members recommended are: Lynnette Fuller-Andrews and Charles R. Ward.

Mr. Fay noted that the Nominating Committee was also charged with assigning specific directors to the three classes as set forth in the bylaws. The Nominating Committee determined these assignments in alphabetical order, by last name. The recommendations and the report of the Nominating Committee are attached to the minutes.

Mr. Fay reported that Mr. Farruk Ikbal has given notice that he will not serve on the board, therefore, leaving a seat available for replacement under the Class C section. The North Carolina Bar Association will recommend a replacement for the vacant seat.

Mr. Fay reported that the Nominating Committee recommended the establishment of a permanent standing committee that would coordinate the restricted services provided by Legal Aid with unrestricted programs located in Charlotte and Winston-Salem to ensure that clients would have a full range of services available. This Unrestricted Program Committee is to be chaired by Glenn Barfield and will also promote the creation of unrestricted legal service delivery programs in eastern North Carolina.

Following discussion, upon motion duly made and seconded, the nominated officers and at-large members of the Executive Committee were UNANIMOUSLY ELECTED and the board UNANIMOUSLY ADOPTED the recommendation with respect to the Unrestricted Program Committee.

The Board discussed the coordination of an Unrestricted Program Committee. Glenn Barfield suggested that as chair of the Unrestricted Program Committee, he also should serve as a member of the Planning Council. Following discussion, a motion was made to amend the previous motion regarding unrestricted programs. Chairman McElroy amended the motion to include all unrestricted programs in the state of North Carolina and to designate Glenn Barfield as the representative of the Legal Aid Board of Directors to the planning council. It was moved, duly seconded and UNANIMOUSLY RESOLVED to accept the amended motion.

Chairman McElroy directed the board’s attention to the formation of the Board’s Standing Committees. He stated that an Executive Committee would be composed of the officers and two at-large members. That committee will consist of the following: Pender McElroy, Chair; Leo Allison, Jim Maxwell, Cal Adams, Lynnette Fuller-Andrews, and Charles R. Ward. Chairman McElroy further stated that the Nominating Committee is in place and recommended that the Nominating Committee with its current members continue to serve.

Chairman McElroy reported that the Personnel Committee has been appointed. That committee is composed of the following members: Cal Adams, Chair; Leo Allison, Lynnette Fuller-Andrews, Glenn Barfield, Jim Maxwell, Pender McElroy, and Laura Shofner. The staff representative to serve on that committee is Cindy Patten, the managing attorney in the Charlotte office.

In accordance with the Bylaws, Chairman McElroy recommended the following standing committees be created: Finance, Operations, Grievance, Board Development, and Strategic Planning. Following discussion it was moved, duly seconded and RESOLVED to establish those standing committees as recommended. Chairman McElroy will appoint members to the various committees and requested that the board members notify him regarding any preferences to serve on a specific committee. After those appointments, he directed each committee to present its charge for board approval at the next meeting.

Glenn Barfield requested that part of the charge of the Unrestricted Programs Committee be to develop statewide private attorney involvement. Chairman McElroy encouraged Mr. Barfield to present that item as part of his committee’s charge at the next meeting.

Also, Chairman McElroy suggested that prior to the next board meeting, client board members meet with the Executive Committee and Mr. Hausen to address the need for a Client Committee as a separate board standing committee. Chairman McElroy suggested that the client group present their recommendation regarding this issue at the next meeting.

Approval of United Way Statement of Non-discrimination
George Hausen presented the United Way Grant Application and Statement of Non-discrimination. Mr. Hausen asked the board for approval of the grant application and policy. Following discussion, it was moved, duly seconded and UNANIMOUSLY RESOLVED to accept the application and policy as presented. Copies of that grant application and policy are attached to these minutes.

Approval of Legal Aid of North Carolina Statement of Non-discrimination
George Hausen presented the Statement of Policy of Non-Discrimination for approval. Following discussion, it was moved duly seconded and UNANIMOUSLY RESOLVED to accept the policy with one correction to delete the word "other" in the third line. A copy of the accepted policy is attached to these minutes.

Matters of Referral to Committees
George Hausen presented the Refinancing Existing Mortgages and Financing Technology Implementation for approval. Following discussion, the Board agreed to refer this document to the Executive Committee for approval.

The Personnel Committee will review the personnel policies and present its recommendations to the Board at the next meeting.

Future Meetings
Chairman McElroy presented a proposed schedule of future meeting dates and locations for board approval. The meeting schedule is as follows: October 11, 2002 in Charlotte; December 13, 2002 in Durham; February 14, 2003 in Goldsboro; JUNE 20, 2003 in Asheville; September 12, 2003 in Lumberton; December 12, 2003 in Raleigh; February 13, 2004 in Winston-Salem; June 18, 2004 in Fayetteville; September 17, 2004 in New Bern and December 13, 2004 in Hillsborough. Following discussion, it was moved, duly seconded and UNANIMOUSLY RESOLVED to accept the dates as presented.

Chairman McElroy informed the board that the bylaws state that election of officers is to occur in May of each year. He proposed a bylaws change that this election take place in June of each year and the board agreed to review that proposed change at its next meeting.

Other Business
Mr. Hausen reported that a federal case, Dobbins v. LSC 01 CIV 8371 (E.D. NY) has been filed challenging the legality of the LSC regulations on program integrity( 1610 restrictions). These restrictions require that Legal Aid must keep its operations separate from other unrestricted organizations, resulting in duplication of equipment and staff so that greater costs are incurred. Legal Aid has joined other legal services organizations around the country and signed on as an Amicus in the Dobbin brief seeking to have these restrictions overturned. Legal Aid staff supports the stand of the organization against these restrictions Mr. Hausen further reported that the Legal Services Corporation has notified Legal Aid Of North Carolina of a planned visit to ensure compliance of regulation 1610.

There being no further business to come before the board, the meeting was adjourned at 3:36 p.m.

Respectfully submitted,

_________________________________
Reid C. Adams, Secretary

 

 

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Legal Aid of North Carolina is a statewide, nonprofit law firm that provides free legal services in civil matters to low-income people in order to ensure equal access to justice and to remove legal barriers to economic opportunity.

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