Meeting Minutes - LANC Board of Directors
March 27, 2009

Site/Location: Wyndham-Raleigh/Durham, Research Triangle Park, NC

Call to Order and Welcome

Chair Lisa Morgan called the meeting to order at 10:35 a.m. and welcomed all in attendance.  

Members Present

Reid C. Adams

Celeste Harris

Paul Shepard

Thomas Berkau

Shirley Jones

Ellen Sheppard

Helen Cook

Nellie Kearney

Mary Ann Tally

Sue Perry Cole

Phillip Leigh

Kyle Woosley

Mary Flowers

Lisa Morgan

Diana Williams-Cotton

Sharon Greig

Ray Owens

 

Members Absent With Prior Notification

 

Glenn Barfield

Samuel Johnson

Jim Talley

Lee Crouch

Dellarene Myers

Alice Tejada

Gregg McDougal

Kris Shepard

John Wester

Approval of Minutes

Following review and discussion of the Board of Directors general business meeting minutes of December 12, 2008, a motion was made, duly seconded, and the minutes were UNANIMOUSLY APPROVED, as written. 

 

Chairman’s Report

Chair Morgan discussed the economy and its impact on the legal services community, leading to more difficulties for our clients as legal services programs face a decrease in funding and an increase in services.  Chair Morgan recognized George Hausen for his sound judgment and leadership and the LANC staff for being fiscally responsible during these difficult times.  She thanked the North Carolina Bar Association for its continued support and for a recent $100,000 one-time unrestricted gift. She also thanked Burton Craige for his generous gift of $100,000 to assist with loan forgiveness for UNC Law School alumni.

President’s Report

Executive Director George Hausen updated the Board on how LANC is responding to the economic downturn. Specifically, LANC has restructured the centralized intake call center and withheld the 2008 staff retirement contribution of approximately $500,000. These changes have increased cash flow, resulting in staff retention and helping to maintain the delivery of services to clients.  Also, he added his appreciation for the NCBA‘s generous $100,000 donation  and the respective donations of $ 100,000 from  Burton Craige, Cliff Britt, and the Womble Justice Fund, earmarked for loan forgiveness assistance. Also, Mr. Hausen reported that the NC Bar Foundation has raised $860,000 in donations to its LANC Endowment Fund.

Mr. Hausen reported that work plans have been completed and are being reviewed.  He stated that there is a focus on how to serve the growing client need, particularly in the areas of foreclosure, veteran benefits, prisoner re-entry, and indigent defense services.  Pro bono work has increased and that law firms are requiring their young attorneys and partners to do pro bono work with Legal Aid. Mr. Hausen added that the NC Housing Finance Agency will compensate LANC $125.00 per hour for prep work on foreclosure issues before litigation.  LANC anticipates hiring an attorney to provide this service.

LSC funding will increase by 10%, approximately $800,000 to LANC for the 2009 fiscal year and he intends to apply this amount to the LANC reserve account which represents one month’s operating expenses of $1.6 million.

Also, North Carolina will receive $29 million from the American Recovery and Reinvestment Plan, but the distribution of these funds has not been finalized. There are plans for HUD projects to assist the homeless and neighborhood stabilization.  LANC will explore partnering with the NC Community Development Initiative on closings for rehabilitated homes.

LANC recently conducted a national search for a development director and hired Janeen Gingrich, who has 15 years of non-profit experience with grant-writing and fundraising.   

IOLTA

Evelyn Pursley, IOLTA’s Executive Director reported that IOLTA is showing drastic decreases in income and that is of some concern because IOLTA provides12% of the LANC budget.  In many states, Legal Aid programs are laying off staff due to the decline of IOLTA funding. 

NC Bar Association

Michelle Cofield, NCBA’s Director of Pro Bono Activities, reported that the NCBA hosted a very successful 4ALL event with call centers located in Asheville, Charlotte, Greenville, Raleigh and Wilmington.  She stated that approximately 6,500 calls were received, and that the NCBA will host the 4ALL event again next year.

Legislative Update

George Hausen reported the state legislature’s activities.

Clients Council Report

Mary Flowers, Chair of the Clients Council, reported that the LANC Clients Council had met and discussed LANC agenda items, their work plan, and the stimulus package.  The Council continues to work on a policy and procedures manual.

Committee Reports

 

Nominations Committee
Sue Perry Cole
, Chair of the Nominating & Board Development Committee reported that the committee met, discussed vacancies and reappointments to the LANC Board.  Ms. Cole reported that a nominee will be recommended by the 14th Judicial District and the North Carolina Association of Defense Attorneys at the June 2009 Board meeting to fill the seat vacated by John Bowers, who recently resigned, and Cal Adams who will complete his second year term in June.  The committee recommends the re-nomination of attorney members Lisa Morgan, Ray Owens, and Paul Shepard, who are all eligible for a second term.   She further reported that a nominee to fill the one-year IOLTA seat will be recommended at the June meeting.

The following client board members Helen Cook, Phillip Leigh, and Diana Williams-Cotton are eligible for reappointment subsequent to the completion of the screening process. 

Following discussion it was moved, duly seconded and UNANIMOUSLY RESOLVED to accept the recommendations of the Nominating Committee.

Another motion was made, duly seconded and UNANIMOUSLY RESOLVED that future nominees from the LANC Clients Council be screened prior to the submission of those names for approval by the full board.
  

Operations and Personnel Committee
At the request of the Chair, Celia Pistolis reported that the Committee reviewed the 2009 LSC Eligibility Guidelines, revisions to the LANC personnel policies and the Annual Reports from Local Advisory Councils. The Annual Reports require no action.

The Committee unanimously recommended that the LANC Board approve the attached Legal Aid of North Carolina 2009 Income Eligibility Guidelines found on Page 14 of the Board Notebook.  Following discussion, it was moved, duly seconded, and UNANIMOUSLY APPROVED, to accept the 2009 income eligibility guidelines, as recommended.

The Committee unanimously recommended that the LANC Board approve revisions to the LANC Personnel Policies regarding hours of work, found on page 15 and leaves/absences found on page 16 through 17 of the Board Book.   Following discussion, it was moved, duly seconded, and
UNANIMOUSLY APPROVED, to approve the revised personnel policies clarifying the status of permanent and temporary employees.
  

Resource Development Report
Paul Shepard
, Chair of the Resource Development committee reported that the committee has discussed the Access to Justice Campaign, the hiring of the development director, and the gift from the North Carolina Bar Foundation.

Strategic Planning Committee
George Hausen
reported that the Strategic Planning Committee is in the process of being re-assembled and will be meeting in June under the direction of Cal Adams.
 

Finance Committee Report
Celeste Harris
, Chair of the Finance Committee reported that the budget had been approved at the December meeting.  Chris Marks offered an update to the approved budget in December.  Mr. Marks reported that a hiring freeze was implemented in late August to deal with the decline in revenue.  After looking at options to assist in the decline in revenue, LANC management decided not to fund the retirement contribution to eligible staff which gave more cash flow to start the 2009 fiscal year.  Presently, LANC is maintaining its hiring freeze and 9 or 10 attorney positions remain vacant across the state. Building Improvements are being delayed until additional capital is obtained.  The goal for 2009 is to maintain one month’s worth of working capital and maintain the hiring freeze. 

Ms. Harris stated that the committee recommends that the Board approve the retention of Romeo Wiggins to perform the annual audit for LANC.  Following discussion, it was moved, duly seconded and
UNANAMIOUSLY RESOLVED to accept the recommendation.

The Board reviewed the letter from AON Consulting regarding changes to the State Children’s Health Insurance Program found on page 25 of the Board Book and the accompanying a resolution requiring the adoption of the Second Amendment to the Pre-Tax Premium Plan sponsored by LANC.  The amendment can be found of page 27 of the Board Book.  Following discussion, it was moved and duly seconded to
UNANAMIOUSLY RESOLVED to adopt the Resolution, as presented.
 
 

Following no new business, the meeting was adjourned at 12:40 p.m.

_______________________________________
Phillip Leigh, Secretary
 


Disclaimer

The materials contained on this website are for information and educational purposes only and do not constitute legal advice.  Also please note that Legal Aid of North Carolina does not provide legal assistance by E-mail. Contact your Legal Aid of North Carolina office or a private attorney if you need to speak to an attorney regarding your particular situation.
See our complete disclaimer.

Mission Statement

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.

 

Back  |  Top