Board of Directors Meeting
Wednesday, January 30, 2019 8:00 am – 9:00 am
Donald W Reynolds Broadcast Center 1289 S Torrey Pines Dr, Las Vegas, NV 89146 Audio Conference Call In Number: (702) 359-0270; Conference Code: 452993
AGENDA
1. Call to Order and Determination of Quorum
2. Additions, deletions or change of agenda order may be requested by a Board member
3. Approval of Minutes from December 5, 2018 meeting ACTION REQUIRED (pgs. 2-3)
4. Public Comment Open Session: Limited to no more than three (3) minutes per person. No action may be taken on any matter raised during public comment until the matter is specifically included on an agenda as an item. Public comments are not accepted during individual agenda items.
5. President’s Report (pgs. 4-12)
6. Committee Reports
Finance Committee, Chair Kathe Nylen (pgs. 13-20) a. Financial Dashboard for the period ending November 30, 2018 b. Statement of Operating Activities for the period ending November 30, 2018 c. Statement of Operating Activities for Reno Operations for the period ending November 30, 2018 (to be distributed at the meeting) d. Balance Sheet as of November 30, 2018 (to be distributed at the meeting) e. Give Voice Report (to be distributed at the meeting)
Investment Committee, Chair Robert Glaser (pg. 21) a. Investment Executive Summary, December 31, 2018
Fundraising Committee, Chair William Grounds (pgs. 22-24) a. Membership b. Special Events c. Grants d. Corporate Support
Board Development Committee, Chair Bill Mason (pgs. 25)
Governance Committee, Chair Renee Yackira (no report, next meeting in February)
7. Adjournment
8. The next meeting of the Nevada Public Radio Board of Directors is scheduled for March 27, 2019 at 8:00 am. However, since this meeting falls within the Membership Campaign, it will be rescheduled for Wednesday, March 20, 2019 at 8:00 am and will be held at the Donald W Reynolds Broadcast Center at 1289 S Torrey Pines Drive, Las Vegas, NV 89146. Please note that this will be an extended meeting to review and approve the FY17-18 audit report. Please allow an additional 30 minutes. Thank you.
1
Board of Directors Meeting ~MINUTES~ Wednesday, December 5, 2018 8:00 am Donald W Reynolds Broadcast Center
Attendance Present at the meeting were Jerry Nadal, Anthony Pearl, Flo Rogers, Richard Dreitzer, Don Hamrick, Bill Mason, Bob Glaser, Dan Hamilton, Kathe Nylen, Dave Cabral, Dave Becker, Melanie Cannon, Phil Burger, Michelle LaBonney, Favian Perez, Laura Armeni‐Kneesel and Lisa Kelly. Fred Keeton attended via phone conference.
Call to Order and Determination of Quorum Chair Jerry Nadal called the meeting to order at 8:01 am requesting additions, deletions or changes to the agenda. None were heard. A quorum was present.
Approval of Minutes A motion to approve the minutes of the September 26, 2018 NVPR Board meeting carried in favor by a quorum of the voting members of the Board.
Public Comment No members of the public were present at the Donald W Reynolds Broadcast Center on the scheduled meeting date to attend the meeting and be heard.
Executive Session Chair Jerry Nadal called an Executive Session to discuss proprietary business matters.
Finance Committee Kathe Nylen, Committee Chair presented the end‐of‐year financial review for the fiscal year ending September 30, 2018. The year‐end results included total revenue of $6.621M and total expenses of $6.792M, a deficit of $171K. After a $146K adjustment for Give Voice reimbursement, the deficit was reduced to $24K. Revenue came in under budget by $534K and expense came in under budget by $347K, which nets to a $187K unadjusted negative variance to budget and a $41K adjusted negative variance to budget. The fiscal year‐end balance sheet was presented and will be presented in the Finance report moving forward at each Board meeting.
Investment Committee Committee Chair Bob Glaser reported: The ending portfolio value of the Endowment accounts as of September 30, 2018 is $2,103,259. The portfolio return for the quarter was 3.32% Endowment #1 balance is $926,511 with an excess above corpus of $40K. Endowment #2 balance is $814,457.78, which is below the floor by $16K. Program Fund balance is $362,290. Bob Glaser provided an update to the Board on the current status of the financial markets.
Fundraising Committee Melanie Cannon reported: Although the recent Fall Membership Campaign fell short of its goal, one of the highlights was the amount of revenue by members making their pledge a sustaining membership. During the Fall campaign, $186K in revenue came from pledges that were sustaining and the highest number of sustaining pledges came from first‐time members. Peer‐to‐Peer giving during the campaign was drastically reduced from previously campaigns.
2 Nevada Public Radio Board of Directors Meeting Minutes December 5, 2018
Nevada Public Radio has scheduled it’s first‐ever trivia event with NPR host Sam Sanders January 16, 2019. The event will be held at Brooklyn Bowl.
Favian Perez reported: Corporate Support as of November 16, 2018 has secured over $1M of the $2.8M budget, 36% of plan. Broadcast continues to perform strongly along with print. Q1‐FY18‐19, Corporate Support is projected to exceed the budget of $705,444 by $27.5K.
Board Development Committee Chair Bill Mason made a motion to appoint Anthony Pearl to Board Chair, Richard Dreitzer to Vice Chair and Kathe Nylen to treasurer. The motion carried with all in favor. Resolutions were presented to appoint Tim Wong and Jerry Nadal to Board Member Emeritus. A motion was made and carried with all in favor. Bill Mason made a motion to appoint Renee Yackira to a 2nd term, November 2018‐2020, and to appoint Dan Hamilton to a 2nd term, December 2018‐2020. A motion was made and carried with all in favor.
Governance Committee Chair Richard Dreitzer made a motion to approve the Nevada Public Radio Statement of Diversity and 2018 Diversity Report. A motion was heard and carried with all in favor.
“Give Voice” Major Gift Initiative Flo Rogers provided an update on the progress of the “Give Voice” Major Gift Initiative which is currently at $2,844,000. Flo Rogers reflected on the “Give Voice” event which took place September 27, 2018 recognizing and celebrating Jerry Nadal and Tim Wong’s Board service. Photos of the event were featured in Desert Companion’s December issue.
President’s Report Flo Rogers reported to the Board that NVPR has participated in a benchmarking study with New Hampshire Public Radio. This report provides information on how NVPR “stacks up” against other like public radio stations in salaries/wages. The report shows that NVPR “stacks up” well with the other stations in the study.
Included in the President’s report is information regarding fundraising efforts at the National level and how that trickles down to member stations. Flo Rogers explained how it works and what it means for NVPR.
Flo Rogers announced that Desert Companion was a finalist in three categories and a winner in the feature story category with “Meth Lunches” at the Folio Awards in New York in November.
Adjournment The meeting was adjourned at 9:01 am.
Next Meeting The next meeting of the Nevada Public Radio Board of Directors is scheduled for Wednesday, January 30, 2018 at 8:00 am at the Donald W Reynolds Broadcast Center.
Respectfully submitted,
Amanda Edwardson Recording Secretary
3 Presidents Report January 2019
CPB Funding/NV State funding
With the legislative transitions in Carson City we have more advocates than in any time in recent memory. Kathy Sisolak (formerly Ong), our new first lady of Nevada is a former NVPR Board member. As has been our custom for nearly 20 years, NVPR, Vegas PBS and KNPB TV will lead the process for a bi-annual appropriation in the education budget to be disbursed to qualifying stations around the state. We will work with our lobbyist Michael Hackett on a request that will increase the appropriation substantially to leverage the leadership changes in the state legislature. It is possible we will also present a capital ask in addition to be allocated to the Give Voice technical upgrade. Public TV has an unfunded technical mandate that is directly related to universal service and emergency communications and our NVPR technical upgrade falls within that public service area.
Flo Rogers has been appointed to the CPB CSG Review Panel joining about 20 other leaders including station managers, professional association and network executives in the periodic review of Corporation for Public Broadcasting Eligibility Requirements. Those 35 pages of requirements form the basis of distributing the $92M+ of federal funds to radio out of the $420M appropriated by Congress. Those activities began this month and call for a handful of DC trips through 2019. (See Appendix I at the end of this packet re: NVPR outperforming the system by revenue growth.)
NVPR Community Advisory Board
The NVPR Community Advisory Board meets on January 28th with new Chair Jerry Nadal.
Give Voice Major Gift Initiative Progress Report
The Give Voice, major gift initiative has raised $2,854,000 so we are still shy of that half way point! Proposals of $285,000 are pending with prospects and we continue research from our own major donor list. Follow up from the launch event continues with prospects. The Nevada Community Foundation will be featuring our campaign in some of their donor outreach. As for grants, there is still an outstanding grant application for $500,000 to the National Endowment for the Arts with notification of funding set for later this Spring; and as noted above, the potential for a capital ask as part of the bi-annual Nevada state request.
It is our intent to begin on-air recognition for Give Voice acknowledging donors that have made their pledges to this initiative.
Business Administration
The studio remodel hit a bit of a standstill through the holidays but is up and running again. All renovation with the possible exception of the studio formerly known as Classical Master Control; will be completed prior to the Spring 2019 Membership Campaign beginning the end of March.
4 The FY17-18 audit has been delayed from its original schedule. Completion of the audit is projected for mid-February. This delay does NOT, however, impede out ability to submit our CPB financial report before the deadline.
Content - Broadcast Ratings and News
December’s ratings put an exclamation point on 2018, as we ended the year with the best audience figures NVPR has seen. NVPR’s unduplicated weekly audience totaled 180,200 through December, our highest figure ever (since July each successive month has set a new record). That unduplicated-audience figure breaks out into weekly totals of 136,200 for KNPR and 57,100 for KCNV. The Three-Year Plan has plenty of audience goals we want to meet by late 2020, but one key goal has already been met: the current total audience exceeds our October 2020 goal by 20,000 listeners. Additionally, African American and Hispanic listeners are now 29.1% of our total audience (the 10/20 goal is 30%), and as of December 46.8% of KNPR’s weekly audience is between ages 25-54, on the way to a goal of 50% (generally the percentage has been about 42%).
Our audience share (the percentage of active listeners listening to us at any given time) is also at an all-time high: for the entire week KNPR is tied for #12 in the 43-station Las Vegas market at 3.0%, up from #20 twelve months earlier; we’re tied for #8 during Morning Edition (4.0%), up from #14 a year earlier. In the 30 largest metro areas in the US, KNPR’s year-over-year audience growth from Fall 2017 to Fall 2018 was the largest of any NPR news station (62.7%); only seven other stations had double-digit growth. So by any audience measure it was a very good second half of 2018.
Six-month KNPR KCNV Total NVPR NVPR Hisp + period weekly weekly NVPR daily NVPR GenX/Millnl/<18 AfAm KNPR KCNV through: cume cume cume cume P1 cume cume % cume % Share share Holiday 2018 132200 55900 176300 73800 84600 59.1% 28.4% 3.1 0.6 December 136200 57100 180200 73600 86000 59.9% 29.1% 3.0 0.7 November 132100 54400 174500 71600 80200 59.5% 27.8% 2.8 0.6 October 127700 52000 167400 67200 78900 59.0% 28.1% 2.7 0.6 September 125400 49500 162700 63900 77700 58.6% 28.0% 2.5 0.6 August 125500 47500 159300 63100 76500 58.7% 27.6% 2.7 0.5 July 119300 47600 152800 62100 81100 58.2% 27.1% 2.5 0.5 June 115500 44400 146500 60700 77800 53.6% 26.1% 2.5 0.4 May 117100 42400 146700 59400 75400 57.8% 26.9% 2.4 0.3 April 116000 37000 141900 58000 71400 58.2% 26.8% 2.4 0.3 March 112900 35800 138600 57000 69200 57.8% 26.6% 2.2 0.3 February 110900 36400 137300 56000 68000 57.0% 25.5% 2.1 0.4 January 2018 112400 34000 137000 55000 59200 56.6% 24.3% 2.1 0.4 Holiday 2017 109000 32000 133300 53300 56600 56.6% 23.5% 2.0 0.4 Yr-over-yr % change 21.3% 74.7% 32.3% 38.5% 49.5% 4.4% 21.0% 55.0% 50.0%
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In the process of measuring our service, we’ve been in touch with several NPR news stations in metropolitan areas close in size to Las Vegas. We are curious to know how each station’s locally-produced news programing performs when it comes to attracting listeners. While Austin is an outlier in the entire public radio system the key metric is “how does your local show retain the M/Edition audience” We will add to this chart as we persuade more stations to share their data with us.
KNPR San Antonio Austin Weekly audience 127300 179500 275300 M-F share % 3.5 3.7 9.0 Local show share 2.6 2.7 8.2 Local show lead-in share 2.7 3.0 8.9
Weekly cumes for three other stations in markets very close to our size – Salt Lake is just larger, Orlando is just smaller, and Pittsburgh (WESA) is about 10% larger but shrinking. The cumes are rolling six-month averages, and the % increase at the bottom is the story:
KNPR KUER WMFE WESA Hol17 109000 140600 130000 135400 Jan18 112400 144000 133400 134600 Feb 110900 143500 135600 135300 Mar 112900 142100 133400 134200 Apr 116000 140500 131300 134000 May 117100 138900 130200 134700 Jun 115500 140000 131200 138300 Jul 119300 134800 131000 136800 Aug 125600 136800 130000 136600 Sep 125600 134400 133700 134600 Oct 127700 135100 132700 136300 Nov 132100 139300 131700 136300 Dec 136200 139000 131800 133300 Hol18 132300 139000 129000 134200 Net change 21.4% -1.1% -0.8% -0.9%
Senator Harry Reid’s appearance on our program January 10 was an hour that drove news for many other media outlets (and cranked the views on our website). It was linked and referenced by:
AP - https://www.apnews.com/3430f14c052f444eb444d022e38d5ce0 The Spectrum - https://www.thespectrum.com/story/news/2019/01/10/former-sen-harry-reid-calls-trump- amoral-wants-romney-2020-run/2539939002/ Review-Journal - https://www.reviewjournal.com/local/local-nevada/harry-reid-wants-romney-to-run-in-2020- calls-trump-amoral-1570426/ Nevada Independent - https://thenevadaindependent.com/article/reid-stands-by-his-description-of-trump-as- amoral-offers-sunnier-view-of-romney; https://thenevadaindependent.com/article/harry-reid-unplugged
6 Rollcall.com - https://www.rollcall.com/news/hoh/harry-reid-lobbying-ufo-research-reporting The Salt Lake Tribune - https://www.sltrib.com/news/nation-world/2019/01/10/nevadas-reid-calls-trump/ The Star - https://www.thestar.com/news/world/us/2019/01/10/nevadas-reid-calls-trump-amoral-wants-a- romney-2020-run.html Boston Herald - https://www.bostonherald.com/2019/01/10/romney-2020-touted-by-nevadas-harry-reid-calling- trump-amoral/ Deseret News - https://www.deseretnews.com/article/900049998/nevadas-reid-calls-trump-amoral-wants-a- romney-2020-run.html Futurism.com - https://futurism.com/former-us-senator-harry-reid-congress-listen-ufo-reports Boston Herald - https://www.bostonherald.com/2019/01/10/romney-2020-touted-by-nevadas-harry-reid-calling- trump-amoral/ Splinter News - https://splinternews.com/harry-reid-says-the-federal-government-isnt-doing-enoug-1831660393 Dailystar.co.uk - https://www.dailystar.co.uk/news/weird-news/752859/Alien-news-US-senator-military-pilots- fear-reporting-UFOs-Harry-Reid-video Newsmax.com - https://www.newsmax.com/newsfront/harry-reid-alien-ufo-government- studies/2019/01/10/id/897730/ Beaumont Enterprise - https://www.beaumontenterprise.com/news/article/Nevada-s-Reid-calls-Trump-amoral- wants-a-13524195.php The Hill - https://thehill.com/blogs/blog-briefing-room/news/424808-harry-reid-urges-senators-to-push-for-more- ufo-research Breitbart - https://www.breitbart.com/politics/2019/01/11/harry-reid-endorses-mitt-romney-for-2020- republican-nominee-for-president/ Mysterious Universe - https://mysteriousuniverse.org/2019/01/harry-reid-still-pushing-for-more-ufo-research- and-disclosure/ KLAS - https://www.lasvegasnow.com/news/local-news/i-team-former-sen-reid-wants-to-make-it-easier-for-ufo- witnesses-to-come-forward/1696423060 KSNV - https://news3lv.com/news/nation-world/nevadas-reid-calls-trump-amoral-wants-a-romney-2020-run
Staff Note
Producer Casey Morell has left our SoN team to take up a producer/director role for NPR’s All Things Considered in Washington D.C This is a tremendous career step for Casey who joined us in 2013. We’ve had many producers go to the biggest markets, one digital producer go to NPR, but Casey’s appointment is especially noteworthy to go straight from here to our flagship NPR show.
Desert Companion
On Dec. 11, Desert Companion held its annual Restaurant Awards luncheon. This year, the festivities took place at Sparrow + Wolf, whose Chef Brian Howard took honors as “Chef of the Year.” Honorees and special guests were treated to passed hors d’oeuvres and cocktails before enjoying the main dish: a whole, roasted suckling pig. This year was particularly meaningful because off-Strip restaurants essentially swept the awards, marking a paradigm shift that suggests the local culinary scene is out“strip”ping the Strip when it comes to innovation and experimentation. It’s a significant development that hadn’t been articulated in other media; the fact that Desert Companion made this declaration further affirms its role as a respected authority in the ongoing conversation about the Las Vegas dining scene.
Desert Companion and State of Nevada continue to cross-produce and collaborate on stories, amplifying their reach and impact. Specifically, staff writer Heidi Kyser has been regularly translating Desert Companion stories into State of Nevada segments, as well as helping SoN
7 producers on stories where she has journalistic background. Most recently, she hosted, produced, or assisted in producing the following: “Winters Are Key for Water Users in the West” (Nov. 28); “New Water Alliance Aims to Protect Water in the Colorado” (Dec. 4); “Voters Weigh in on Ballot Qs: Now What?”(Dec. 7, based on December Desert Companion story); “Study Tracks Gun Deaths in Domestic Violence Incidents” (Dec. 18); “Dance Companies Pledge to Fight Yellowface in ‘The Nutcracker’” (Dec. 20); “Crowds Damaging Red Rock, Climbing Group Warns” (Dec. 26); “From Fires to Political Fireworks, Nevadans Saw a Lot in 2018” (Dec. 27, based on Desert Companion story); “After County Commission, Susan Brager Eyes a Regent Role” (Jan. 3); “As Shutdown Drags On, Volunteers Step In to Clean up Nevada’s National Parks, Rec Areas” (Jan. 7).
Operations/Engineering
CES 2019…It wouldn’t be CES, the largest convention in Las Vegas, without KNPR demonstrating some new bit of technology. This year all NVPR stations and translators were included in a demo for Connected Radio. It’s a combination of over-the-air radio reception, GPS and a WiFi connection to the Internet, to provide an enriched radio experience in automobiles.
Does this sound vaguely familiar? That’s because KNPR was the first station to demo Connected Radio during 2017 NAB. They’ve been working on the features of the system and are re- launching “ConRad” this year at CES.
The tricky part of making this work, and what makes it very useful to NVPR, is that no matter where you are or what frequency you are listening to, ConRad knows it’s KNPR. (Keep in mind that KNPR can be heard from a total of 15 transmitters.) And ConRad includes FM+HD channels.
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9
Digital Activity
We now have an NV89 podcast feed. It's posted on our web site. https://knpr.org/discover- music/about-discover-music The podcast is listed with NPR and it now appears on the NPR One app with our other original content.
We are in the process of moving our web site to a new server company, Pantheon. We expect the service and performance to be better than it has been, and it will cost less.
10
Marketing:
Nevada Public Radio’s social media platforms continue to engage larger audiences. NV89 in Reno saw a 32% increase in followers in 2018, while Nevada Public Radio’s audience grew 11%. Additionally, NVPR is becoming a go-to source of content for younger audiences with 50% of our followers now under the age of 45, compared to 32% in 2016.
NV89 launched its first “Local 891 Live” event in Las Vegas in December featuring local musicians Sonia Barcelona and Cameron Calloway. The live performance was held at Rebar on Main Street with NV89’s Jake Wagner hosting. More than 50 local music lovers attended and
11 participated in our first ever crowd-sourced video, which invited the crowd to film the performance on their smartphones from their perspective to be edited together into one video to be featured on public radio’s music video platform, VuHaus.
Personnel Comings and Goings: • Casey Morell as noted above – off to NPR’s All Things Considered. • Amanda Edwardson is on maternity leave. New baby Ella was born on January 10, 2019! • Jessica Parks, Development Coordinator, has left NVPR to relocate to California. • Flo Rogers participated in the first ever official Ted X at a high school in Nevada at Valley High on January 25, 2019. • NVPR announcer + NV89 producer Jake Wagner was the music curator at the NHL All Star Game in San Jose.
12 Appendix I
CPB funding 406 Radio Grantees 2007-2017 97 of those grantees (including NVPR) account for the majority of revenue growth of the entire public radio system from $950M to slightly less than $1.4B over the last decade…46% growth across the decade. NVPR’s budget increase in that same time period is 79%, significantly outperforming the “system.” NVPR FY06-07 Budget: $3,519,031 NVPR FY16-17 Budget: $6,291,082
13
Financial Dashboard
For Presentation at the Nevada Public Radio Board of Directors Meeting January 30, 2019
Presented by: Kathe Nylen, Nevada Public Radio Treasurer
14
Financial Dashboard – NVPR Board Meeting January 30, 2019
Year-to-Date Review
Oct 18 - Nov 18 Financial Performance
1,800 1,600 1,400
Thousands 1,200 1,000 800 600 400 200 - (200) Revenue Expense GV Reimbursement Surplus/(Deficit)
Actual Budget $ Variance
Oct 18-Nov 18 Actual Budget $ Variance % Variance
Revenue 1,650,021 1,661,040 (11,018) -0.7%
Expense 1,160,157 1,319,641 159,484 12.1%
Operational Surplus/(Deficit) 489,864 341,399 148,465 43.5%
GV Reimbursement 19,457 17,802 1,655 9.3%
Adjusted Surplus/(Deficit) 509,321 359,201 150,121 41.8%
Notes: • Year-to-date results show revenues under budget by less than 1% and expenses under budget by 12.1%. Reimbursement from Give Voice for campaign management and for Tech Upgrade staff costs is over budget by 9.3%. The net is a $150K positive variance to budget. • Federal funding will be under budget by $5,296 for the year. This is due to fluctuation in the incentive multiplier and adjustments made in the final NFSS (Non-Federal Financial Support) number after the budget was final. • Production revenue net of expense is over budget by $10K (almost 400%). • Corporate Support is above plan by 2.3% adding nearly $11K in operational funding over budget. The main driver is Broadcast revenue, posting a $25K positive variance to budget. New business represents $45K, nearly 10% of total Corporate Support revenue. • Membership and Special Events posts a $23K (2.87%) negative variance to budget. Negative variances in pledge drive, renewals, and additional gifts are offset somewhat by positive variances in Sustaining Membership and Vehicle Donations. • Total expense is under budget by nearly $160K, mostly due to not hiring budgeted positions in News and Membership/Special Events.
15 Financial Dashboard – NVPR Board Meeting January 30, 2019
Revenue Review
Revenue Drivers: REVENUE Broadcast – Over Budget 13.5% ($25.5K) Investment & Special Events, Production – Over Budget 386% ($10K) OCT 18- NOV 18 Other, 14,817 17,690 Sustaining Mbrs – Over Budget 6% ($12K) Vehicle Donation – Over Budget 44% Federal/State ($7K) Grants, 335,208 CCCU – Over Budget 51% ($4.5K)
Revenue Challenges:
Special Events – Under Budget 15% ($3K) Federal Grants – Under Budget 1.5% ($5.3K) Foundation Pledge Drive – Under Budget 4% ($18K) Membership, Grants, 26,800 Renewals – Under Budget 15% ($11.6K) 773,180 Add Gift – Under Budget 37% ($11K) Corporate Challenge – Under Budget 8% ($7K) Digital (Renewal) – Under Budget 24.5% ($4K)
Total Revenue: $1,650,021
Revenue Comparison YTD: Corporate Support, November 2017 - $1,622,307; 1.7% 482,326 growth
Oct 18 - Nov 18 Revenue Variance
Investment & Other
Membership
Corporate Support
Foundation Grants
Federal/State Grants
Special Events
(25,000) (20,000) (15,000) (10,000) (5,000) - 5,000 10,000 15,000
16 Financial Dashboard – NVPR Board Meeting January 30, 2019
Expense Review
Expense by Function:
Content Production EXPENSE $672,993 – 58% OCT 18- NOV 18 . Programming – Under Budget 10% Administration, . News – Under Budget 23% 77,255 Content . Print – Under Budget 1% Production - . Operations – Under Budget 8% Programming, 218,862 Community Relations $38,565 – 3%; Over Budget 3% Membership and Special Events, Fundraising 219,662 $371,345 –32% Content . Mbrship/Events – Under Budget 15.5% Production - . Corporate Support – Under Budget 12% News, 100,124 Administration $77,255 – 7%; Under Budget 28%
Corporate Cost of Revenue Generation: Support, 151,683 Content Production $0.29 per $1.00 - Print, 197,229 (increase of $0.01 from Nov 17)
Community Total Expense: $1,160,157 Relations, 38,565 Content Production - Expense Comparison YTD: Operations, 156,778 November 2017-$1,120,528 (3.5% increase)
Oct 18-Nov 18 Expense Variance
Administration
Membership and Special Events
Corporate Support
Community Relations
Content Production - Operations
Content Production - Print
Content Production - News
Content Production - Programming
(45,000) (40,000) (35,000) (30,000) (25,000) (20,000) (15,000) (10,000) (5,000) - 5,000
17 Financial Dashboard – NVPR Board Meeting January 30, 2019
Expense Review (continued)
Expense by Category Oct 18 – Nov 18
Expense by Category Expense % of Total Exp Payroll and Payroll Taxes $ 513,837 44.3% Benefits 119,753 10.3% Print Production 127,770 11.0% Network Programming 112,658 9.7% Local Programming (does not include salaries for News dept) 19,986 1.7% Engineering, IT and Site Fees 75,834 6.5% Dues, Training, Conferences and Travel 1,335 0.1% Credit Card and Bank Fees 15,013 1.3% Debt Service 3,798 0.3% Agency Fees (for Underwriting sales) 27,508 2.4% Premiums, Postage and Other Fundraising Expense 6,143 0.5% Professional Services 2,195 0.2% Building Maintenance and Overhead 52,195 4.5% Bad Debt Expense 28,144 2.4% Community and Membership Events 3,528 0.3% Other Expense 50,461 4.3% $ 1,160,157 100.0%
18 Financial Dashboard – NVPR Board Meeting January 30, 2019
Year-End Projection
Oct 18 - Sep 19 Projected Financial Performance
8,000 7,000 6,000 Thousands 5,000 4,000 3,000 2,000 1,000 - (1,000) Revenue Expense GV Reimbursement Surplus/(Deficit)
Actual Budget $ Variance
Oct 18-Sep 19 Projected Actual Budget $ Variance % Variance
Revenue 7,049,353 7,054,649 (5,296) -0.075%
Expense 7,215,866 7,215,866 0 0%
Operational Surplus/(Deficit) (166,513) (161,217) (5,296) -3.3%
GV Reimbursement 213,621 213,621 0 0%
Adjusted Surplus/(Deficit) 47,108 52,404 (5,296) -10.1%
Notes: • The only permanent variance booked at this time is the variance in federal funding. We do know that our CSG grant will come in at $5,296 under budget. This variance is due to fluctuation in the incentive multiplier and adjustments made in the final NFSS (Non-Federal Financial Support) number after the budget was final.
19 NEVADA PUBLIC RADIO Statement of Operating Activities For the Period Ending November 30, 2018
Oct - Nov 18 Budget $ Over Budget % of Budget
Revenue Total 4000 · Benefits & Special Events 17,690.00 20,833.00 -3,143.00 84.91% Total 4100 · Federal Grants 335,208.00 340,504.00 -5,296.00 98.45% Total 4200 · State-Local-Production Grants 0.00 0.00 0.00 0.0% Total 4415 · Foundation Grants 26,800.00 26,596.00 204.00 100.77% Total 4435 · Production Revenue (net of expense) 12,719.11 2,616.67 10,102.44 486.08% Total 4540-5 · Desert Companion Subscriptions 1,828.00 3,100.00 -1,272.00 58.97% 4400 · Corporate Support Revenue Total 4420 · Broadcast UW 213,087.42 187,637.00 25,450.42 113.56% Total 4425 · Print UW 168,302.62 171,518.00 -3,215.38 98.13% Total 4440 · Challenge UW 78,500.00 85,500.00 -7,000.00 91.81% Total 4441 · Auction UW 0.00 0.00 0.00 0.0% Total 4442 · Event UW 10,400.00 10,900.00 -500.00 95.41% Total 4445 · Web UW 12,035.73 15,925.00 -3,889.27 75.58% Total 4400 · Corporate Support Revenue 482,325.77 471,480.00 10,845.77 102.3% 4500 · Membership Revenue 4510 · Pledge Drives/Challenges 426,736.26 445,000.00 -18,263.74 95.9% 4515 · Renewals 66,061.00 77,700.00 -11,639.00 85.02% 4522 · Acquisitions 4,040.00 6,000.00 -1,960.00 67.33% 4525 · Clark County Credit Union-CCCU 13,560.00 9,000.00 4,560.00 150.67% 4530 · Lapsed 5,408.11 10,000.00 -4,591.89 54.08% 4535 · Additional Gifts 18,922.78 30,000.00 -11,077.22 63.08% 4540 · Other Development Revenue 77.01 0.00 77.01 100.0% 4540-1 · Sustaining Members 209,510.38 197,510.00 12,000.38 106.08% 4540-2 · Workplace Campaigns 2,150.18 500.00 1,650.18 430.04% 4540-3 · Unsolicited Gifts 2,104.00 600.00 1,504.00 350.67% 4540-4 · Unplanned Oppty Revenue 16.29 0.00 16.29 100.0% 4545 · Vehicle Donation 23,386.00 16,200.00 7,186.00 144.36% 4550 · Matching Gifts 1,208.46 900.00 308.46 134.27% Total 4500 · Membership Revenue 773,180.47 793,410.00 -20,229.53 97.45% Total 4600 · Sales/Rent 269.84 2,500.00 -2,230.16 10.79% Total 4700 · Endowment #1 0.00 0.00 0.00 0.0% Total 4800 · Program Fund 0.00 0.00 0.00 0.0% Total Revenue 1,650,021.19 1,661,039.67 -11,018.48 99.34% Expense Total 5000 · PROGRAMMING 218,861.86 244,214.15 -25,352.29 89.62% Total 5400 · NEWS 100,123.80 130,353.83 -30,230.03 76.81% Total 5800 · CORPORATE SUPPORT 151,683.12 171,836.49 -20,153.37 88.27% Total 6000 · COMMUNITY RELATIONS 38,564.55 37,460.03 1,104.52 102.95% Total 6300 · DESERT COMPANION 197,229.15 199,019.12 -1,789.97 99.1% Total 6500 · BROADCAST OPERATIONS 156,778.15 169,735.65 -12,957.50 92.37% Total 7000 · MEMBERSHIP AND SPECIAL EVENTS 196,541.71 246,611.81 -50,070.10 79.7%
prepared by: MLaBonney 20 Page 1 of 2 NEVADA PUBLIC RADIO Statement of Operating Activities For the Period Ending November 30, 2018
Oct - Nov 18 Budget $ Over Budget % of Budget
Total 7001 · Development Bad Debt Expense 23,120.29 13,200.00 9,920.29 175.15% Total 7500 · ADMINISTRATION EXPENSES 77,254.57 107,209.99 -29,955.42 72.06% Total Expense 1,160,157.19 1,319,641.07 -159,483.88 87.92% Operational Surplus/(Deficit) 489,864.00 341,398.60 148,465.41 143.49% Give Voice Reimbursement ‐ Tech Upgrade 5,891.54 6,314.58 -423.04 93.3% Give Voice Reimbursement ‐ Campaign Mgmt 13,565.78 11,487.42 2,078.36 118.09% Adjusted Surplus/(Deficit) 509,321.32 359,200.60 150,120.73 141.79%
prepared by: MLaBonney 21 Page 2 of 2
Investment Activity Update December 31, 2018
NVPR Portfolio Value: $1,918,0191 Gain/(Loss): ($198,349) Portfolio Return: -9.4%
NVPR Portfolio Account Balances as of December 31, 2018 Cash Reserve Account Balance: $0
Program Fund (for use in operations with mandatory annual draw down on the corpus) Account Balance: $336,312 Q4-18 Gain/(Loss): ($29,076)
Endowment #1 (restricted for use in the maintenance and upkeep of the building and equipment) Account Balance: $842,195 Q4-18 Gain/(Loss): ($89,570) Corpus: $906,452 Balance Below Floor: $64,257
Endowment #2 (requires Board approval for withdrawals) Account Balance: $739,512 Q4-18 Gain/(Loss): ($79,703) Corpus: $850,310 Balance Below Floor: $110,798
“Give Voice” Account Balance as of December 31, 2018 “Give Voice” Major Gift Initiative (Technical Upgrade and NVPR “Growth” Fund) Account Balance: $465,089 Interest Earned in 2018: $5,946
NVPR Endowments Q4-18 1,000,000 900,000 (89,570) 800,000 (79,703) 700,000 600,000 500,000 400,000 (29,076) 300,000 200,000 100,000 - Endow #1 Endow #2 Program Fund
Value 10/1/18 Value 12/31/18
1 Does not include “Give Voice” funds. 22 Fundraising Committee Report a. Membership
Membership and Special Events are under budget for the year to date by $27K or 2% but revenue is up 8% year-over-year or more than $72K. We have a very aggressive budget. A lengthy membership campaign in October/November that fell short of goal by $13K, put some pressure on your year-end activities, but our Cirque du Soleil Everyday campaign helped push both our additional gift and new member acquisition efforts over budget with YOY growth of 26% in our additional gift efforts, and 32% YOY growth in member acquisition. We’ve seen a bit of a rebound in Q1 CARS revenue YOY of 65%, but this revenue area is still very volatile with 27% fewer CARS donations initiated in December 18 versus one year prior. Interestingly, we didn’t receive that same kind of bump in our Lapsed efforts. In fact, we are down YOY in our efforts to re-engage our lapsed members by 30% or (5K). There isn’t an obvious explanation for this – so I will be doing a bit more analysis on this front.
In addition to the Cirque du Soleil Everyday campaign we had on-air throughout December, NPR also did aggressive year-end fundraising across all of their digital platforms. It is possible that NPRs campaign which focused on non-broadcast listening would have an over sampling of non-traditional and new listeners which would predict a bump in both acquisition and additional gift giving. But I cannot verify this. Data from NPR is forthcoming for additional context.
Our traditional renewal is down year-over-year for Q1 by about 7%, but Sustaining Member revenue for the same period is up 37% ($65K). These numbers are inter-connected. As more and more members choose sustaining membership – especially first-time-donors, we can expect traditional renewal efforts to diminish because there are literally fewer targets. The good news is that traditional renewal has a higher cost associated with it than sustaining membership. The important thing to retain is that budgeting for lower YOY revenue in traditional renewal while increasing our sustaining budget is a big win for membership. b. Special Events
Membership events has started out slowly this fiscal year. We are working to reach out to current and emerging partners to. To date just $2,815 has been booked.
The Online Auction is on the horizon and the development team are currently working to secure packages. We are making a change in the platform we use for the auction this year. This is a major change, but we feel strongly it was necessary to find a platform that is more mobile- friendly. This change reduces overall auction expenses, and will facilitate more mobile friendly bidding, while not sacrificing any of our “must haves” in terms of data. We also anticipate fewer bidding defaults as Bid Smart does verify current credit card data where Bidding For Good did not. However, it is worth noting that it does take a lot of back-end rebuilding and may have some long-term auction bidders feeling a bit disoriented. It does allow bidders to optionally round their bid up to cover credit card fees.
NVPR Trivia Night with Brooklyn Bowl was a smashing success by all accounts. Brooklyn Bowl has already reached out to schedule future events. Dan Platzman of Imagine Dragons has agreed to be our next Quizmaster.
Below is the special events chart.
23 Total Vouchers Good Till Show Potential Total Total Total Show On-Air Promotion Date Revenue Available Remaining Raised Brooklyn Bowl - Hot Tuna August-18September 7, 2018 $9003020$300 OPIUM (FY 2018) Aug-18Voucher good for 2 tickets$3,750 30 (pairs)8 $2,000 Keller Williams (BB) Oct-18November 3, 2018 $6003019$220 Santana Oct-18 November 2, 7, 9$2,970 3329$360 Billy Gibbons (BB) Nov-18November 16, 2018 $9003018$360 Trombone Shorty (BB) Jan-19 Janurary 19, 2019 $75030 0 $750 The Moth Nov-19November 14, 2018 $75050 0 $750 Galactic (BB) Mar-19 March 26, 2019 $6003024$120 OPIUM (FY 2019) Aug-18Voucher good for 2 tickets$1,750 14 (pairs)3 $1,375 Dark Star Orchestra (BB) Feb-19February 19, 2019 $7503014$400 Lady Antebellum Feb-19 8/23-8/24 2019$5,600 40 0 $0 Hall & Oates (AEG Presents) Feb-19 TBDTBDTBDTBDTBD Celine Dion (AEG Presents) TBD TBDTBDTBDTBDTBD The Roots (AEG Presents) TBD TBDTBDTBDTBDTBD James Taylor (AEG Presents) TBD TBDTBDTBDTBDTBD Michael Grimm (The Smith Center) TBD TBDTBDTBDTBDTBD Melissa Manchester (The Smith Center) TBD TBDTBDTBDTBDTBD $19,320 $6,635 c. Grants
Caesars Foundation Grant was renewed with a $100K cash and $30K in-kind commitment for the 2018 calendar year. They are also working to include the Three Square sponsorship in other budgeted items for the year which represents an additional $20K to offset direct partnership expense. d. Corporate Support prepared by Favian Perez
Underwriting has begun FY18-19 strongly. As of January 7, and one quarter into the fiscal year, U/W has secured $1,394,388 of the $2,809,994 budget – or 49.62% of the overall plan.
Broadcast revenue for October completed the month with a positive variance of $10,579 to total $106,119. November Broadcast revenue completed the month with a positive variance of $16,686 to total $108,783. December broadcast revenue completed the month with a positive variance of $197 to $121,595. Overall for Q1 of FY18-19, Broadcast revenue complete the 3 month period with a positive variance of $27,462 against the $309,135 first quarter Broadcast plan.
Print revenue for October closed the month with a positive variance of $7,975 to $74,344. November Print revenue however experienced a negative variance of $11,190 to $93,959. December Print revenue closed the month with a positive variance of $30,344. Overall, Print revenue completed Q1 of FY18-19 with a positive variance of $27,129 against the $273,931 first quarter Print plan.
Corporate Challenge revenue in October’s Membership Drive fell short of plan by $7,000 to $78,500. Digital revenue closed the period with a negative variance of $5,264 against the $26,078 first quarter plan. Lastly, sponsorship revenue finished with a negative variance of $500 against the $10,900 first quarter plan.
24 All in for Q1 of FY18-19, Underwriting exceeded the $705,444 plan by 6% - totaling $747,271 booked & run.
Our U/W team experienced strong Broadcast and Print activity from our existing base of clients. This seems to be partially attributable to the constrained market inventories found in the General Market media space during the mid-term election political window. *Note: Nevada Public Radio however did not accept any political advertising.*
One area that Underwriting is following closely is the continued shift towards shorter term media planning and purchasing. This is evidenced by the $747,271 booked & run in Q1, while the remainder of the year holds the balance of the $1,394,388 booked thus far. With the newest AE onboard, identifying new business will remain our focus. Expanding our roster from the existing ~300 active clients will not only help to ensure an increase in revenue, but will likewise diversify our revenue base among a larger multitude of industries and our Account Executives. I am confident that Q1’s performance will serve to set the stage for a successful year in Underwriting.
Elena Spencer, our 6th Account Executive, has joined Nevada Public Radio’s Underwriting Team. Elena comes to us from Power 88.1, KCEP, where she worked as an AE. A UNLV graduate, she has extensive experience developing & cultivating targets from prospect to active client and is eager to grow a book of business through new to NvPR clients. We’re excited to welcome her aboard and support her in contributing to Underwriting’s growing list of clients.
New business secured for Q1 of FY18-19 includes: Findlay Volvo Cars, Eataly at Park MGM, Eide Bailey, Bat Out of Hell, Hill Firm Lawyers, Legacy Traditional Schools, Las Vegas Oddities, Ralph Jones Display, Sin City Balloon Rides, City of Sparks, Maya Cinemas, Westgate Resort, Pine Plaza Dental and Lexus of Las Vegas.
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Board Development Report January 2019
There are no reappointments for January 2019
Recent discussions among the Executive Committee, the CEO and Chair of the board development committee have centered on identifying prospects for board service in Reno. Activities around this goal include:
Flo has taken meetings with the Executive Director of the Reno Community Foundation, Valerie Glenn of the Glenn Group and Favian is communicating with Argentum Group and our underwriting clients*. NVPR is hosting a Reno Chamber of Commerce mixer on 2/21 at our NV89 studios and we plan meetings with prospects on that day to set us on a path to make an appointment in the current fiscal year.
Targets include:
a) Companies who have supported our Reno activities thus far: El Dorado Resorts* / Carrano family Patagonia* Grand Sierra Resort* (owns SLS in Las Vegas) Meadows Bank
b) Well placed individuals who can advocate Sabra Smith Newby – Reno City Manager and NVPR CAB member Gene Leverty Attorney, known to Richard Dreitzer Tony Manfredi, Executive Director Nevada Arts Council
Note. We are currently navigating what the change of executive leadership at Barrick Gold means for us. Michael Brown has been appointed to the new NV governor’s administration after announcing his retirement in December.
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