State Employee Charitable Campaign State Policy Committee Wednesday, March 23, 2016 9:00 A.M. – 3:00 P.M. United Ways of Texas offices 1910 E. Martin Luther King Jr. Blvd. Austin, TX 78702

1. SPC Roll Call - Meeting was called to order at 9:02 AM. All SPC members were present. Guests included: Assistant Attorney General, Joe Thrash and SECC SCM, Greg Bennett. 2. Approval of December 12, 2015 Minutes - State Campaign Manager said that minutes from the previous meeting were not ready for approval, so the Committee deferred approval until the next meeting.

3. Recent developments in local and statewide campaign operations: - 2016 Roundtable webinar recap - The State Campaign Manager shared that during the Roundtable the following topics were discussed: 2015 campaign results, an update on the status of the CPA’s vetting of Giving Nexus, and SCM advice for LCMs regarding 2016 campaign preparation. SCM stated that more than 40 people logged on to the webinar, including LCMs, SPC and LEC members, and charities. Approximately 14 people viewed the recording of the webinar online afterwards.

- Giving Nexus online pledge form implementation update and timeline - The SCM gave an update about CPA testing a donor output report in the CAPPS payroll system and that the vetting of Giving Nexus still falls within the acceptable timeline of implementing this electronic pledge form in 2016. Chris Conradt shared an update on the Texas Administrative Code rule change and that the SPC will be able to make personal comments on any of the rules once it is posted for Public Comment.

- Update regarding new LCMs for three SECC regions (Coastal Bend, Concho Valley, and East Texas) - The SCM alerted the SPC to the loss of three organizations serving as LCMS during the 2016 campaign. The SCM reached out to the LECs for coaching as to how they wanted to handle it the situation: find a new local organization interested in applying; find a statewide charity federation to apply; or merge their SECC region with another one. The three regions are: Coastal Bend SECC, Concho Valley SECC, and East Texas SECC.

The SCM said that the statewide charity federation, Local Independent Charities of Texas, is the sole applicant for both the Coastal Bend and East Texas SECC regions.

The SPC discussed a merger between the Concho Valley and Greater West Texas SECC regions. Greg Davidson made a motion to approve this merger and Bill Geise seconded it. The SPC voted unanimously to approve this motion. 4. 2015 Campaign Results and 10% administrative expense cap - SPC reviewed 2015 campaign results and highlighted the 10% overage administrative fee due to campaign budgets and fundraising. The cumulative expenses and fundraising led to an overage of.33 or $28,000 over. SPC Chair and SCM shared several potential methods for addressing this overage. SCM pointed out that lowering the administrative fee could also be accomplished in the future by increasing the fundraising amount, not just lowering expenses. Suggested methods for addressing the overage: - 1) An even $ amount from all LCMs – ($1,556 for all 18 regions) - 2) An even $ amount from all regions whose budget were above 10% ($3,500 per 8 regions) - 3) An even % from all regions whose budget were above 15% ($5,600 per 5 regions) - 4) Or an individualized amount due to how much proportionally over 10% the region was. SEC Chair also pointed out that regions ability to pay might be a factor to take into consideration when determining which course of action to take. - Greg Davidson made a motion for the five regions whose budgets were over 15% to pay an equal amount. The motion was not seconded and so was not passed. - SPC asked the SCM to reach out to all regions whose budgets were over 10% and ask for justifications as to why this was the case.

5. 2016 graphic design and printing options - SCM gave the SPC an overview of situation that the SECC contract provides the ability for UWT to sub-contract out some of its duties with respect to graphic design. SCM asked SPC for approval to consider a subcontractor(s) for graphic design of 2016 printed materials. SCM would be possibly getting a new bid from previous subcontractor for reduced amount with different print product offering, as well as a potential bid from an out-of-state subcontractor to do design and printing. The SPC asked the SCM to ensure that as the campaign moves to an online pledge form, the look and feel of the printed and online materials is coordinated.

- Louri O’Leary made a motion to approve allowing UWT to explore graphic design subcontractor(s) and prior to engagement, to present bids to SPC for approval or denial. Genoveva Minjares seconded the motion. The SPC voted unanimously to approve this motion. 6. SPC review of and approval/denial of 2016 SECC Statewide Federation applications - SCM reviewed the 2016 SECC charity application process and that both an administrative review and reconciliation had been done for each application, as well as a SPC member review and reconciliation.

- SPC members discussed recommendations for approval or denial of each statewide charity federation and all applying member charities. SCM reminded the SPC that if an application was incomplete, they are not required to review that application, but can do so if they wish.

- Application determinations were as follows:

America’s Best Charities

A motion was made by Genoveva Minjares and seconded by Greg Davidson to approve America’s Best Charities. The motion passed.

A motion was made by Genoveva Minjares and seconded by Louri O’Leary to approve affiliates #2-8, 10-20, 22-24, 27-28, 31-32, 34, 37-43, and with a revised administrative fee, 26, and to deny affiliates # 9, 21, 25, 33, and 36 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

A motion was made by Chris Conradt and it was seconded to approve affiliates #44-47, 50-55, 60-62, 64, 67, 70-72, 75, 78-80, 84, 86, 88, and with a revised administrative fees, 57-59, 63, 65, 68, 73, 76- 77, 81-82, 85, 87, 89. The motion passed.

Chris moved to deny the following affiliates for the statutory reasons as outlined on the attached spreadsheet and Carolyn Beck seconded it: affiliate 48. The motion passed

Chris moved to deny the following affiliates for the statutory reasons as outlined on the attached spreadsheet and Louri O’Leary seconded it: affiliates 49, 56, 66, and 74. The motion passed

Chris moved to deny the following affiliates for the statutory reasons as outlined on the attached spreadsheet and Genoveva Minjares seconded it: affiliates 69 and 83. The motion passed

A motion was made by Mary Helen Pratt and seconded by Genoveva Minjares to approve affiliates #90-94, 96, 97, 99, 101-104, 106-108, 110-119, 121-128, and to deny affiliates #95, 98, 100, 105, 106, 107, 108, 109, 120, 129, and 130 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

A motion was made by Greg Davidson and seconded by Louri O’Leary to approve affiliates #131, 133, 134, 136, 138, 139, 141-144, 147-166, and to deny affiliates #132, 135, 137, 140, 145, and 146 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

America’s Charities

A motion was made by Greg Davidson and seconded by Louri O’Leary to approve America’s Charities. The motion passed. A motion was made by Greg Davidson and seconded by Louri O’Leary to approve affiliates #2-4, 8, 9, 11, 12, 14, 15, 17-20, 23, 24, 26, 28-30, 32-34, and to deny affiliates #5, 10, 13, 16, 21, 22, 25, 27, 31 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

Community Health Charities Texas

A motion was made by Carolyn Beck and seconded by Greg Davidson to approve Community Health Charities Texas. The motion passed.

A motion was made by Carolyn Beck and seconded by Louri O’Leary to approve affiliates #2-14, 16- 23, 25, 27, 28, 31-34, and to deny affiliates #15, 24, 26, 29, 30, and 35 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

Earth Share Texas

A motion was made by Louri O’Leary and seconded by Greg Davidson to approve Earth Share Texas. The motion passed.

A motion was made by Louri O’Leary and seconded by Noe Barrios to approve affiliates #2, 4, 5, 7- 31, 33-40, 42-44, and 28 with corrected administrative rate and to deny affiliates #3, 6, 32, and 41 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

Global Impact

A motion was made by Noe Barrios and seconded by Janice McCoy to approve Global Impact. The motion passed.

A motion was made by Noe Barrios and seconded by Louri O’Leary to approve affiliates #2-25, and 27-35, and to deny affiliate #26 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

Local Independent Charities of Texas

A motion was made by Janice McCoy and seconded by Noe Barrios to approve Local Independent Charities of Texas. The motion passed.

A motion was made by Janice McCoy and seconded by Louri O’Leary to approve affiliates # 3, 5, 7, 9, 10, 12-26, 28, 29, 32, 33, 34, 36-41, 42, 43, 44, and with corrected administrative rates, #6, 8, 30, 35, and 45, and to deny affiliates #4, 27, and 31 for the statutory reasons as outlined in the attached spreadsheet. The motion passed.

Neighbor to Nation

A motion was made by Bill Geise and seconded by Gena Minjares to approve Neighbor to Nation. The motion passed.

A motion was made by Janice McCoy and seconded by Louri O’Leary to approve affiliates #2-3, 5-14, 16, 18-31, and to deny affiliates #4, 15, and 17 for the statutory reasons as outlined in the attached spreadsheet. The motion passed. - For future application reviews, the SPC asked the SCM to ask charities to provide USB drives for each federation binder’s application attachments.

- The SPC also would like to re-assess the SECC charity application form in a future meeting, with regards to the category of services section. The Committee would like to discuss the topic of the statutory requirements of charities providing direct or indirect health and human services at a future meeting, and whether or not to try and seek a Texas Administrative Code rule change to more precisely define the definition of direct and indirect health and human services

- Janice McCoy made a motion for the SCM to scan and email all charity applications that provide clarifications on the charity meeting the statutory definition of providing health and human services. Greg Davidson seconded the motion. The SPC voted unanimously voted to approve this motion.

7. Set next meeting - SPC discussed dates for the next meeting and set a May 16, 9 AM meeting. SPC asked SCM to send SPC group photo out to members via email.

8. Public Comment [Public comment may include any agenda item or any item not on the agenda. The public is encouraged to take advantage of this opportunity. Comments will be limited to three (3) minutes.] There were no public comments. 9. Adjourn -Greg Davidson made a motion to adjourn the meeting. Louri O’Leary seconded the motion. The SPC voted unanimously to approve this motion. The meeting was adjourned at 12:07 P.M.

NOTICE OF ASSISTANCE AT PUBLIC MEETINGS Persons with disabilities who plan to attend this meeting and who need auxiliary aids or services (such as interpreters for persons who are deaf or hearing impaired, readers, large print or Braille), are required to contact Greg Bennett at (512) 694-2872 at least five (5) work days prior to the meeting so that appropriate arrangements can be made.