MEETING AGENDA EXECUTIVE & AUDIT COMMITTEE

Friday, 12 February 2016 4th Floor Conference Room

Louisiana Humanities Center at Turners’ Hall, New Orleans, LA 11:00 AM - 12:30 PM

(Press Event Announcing 2016 Humanist and Awardees to Follow in Education Center)

1. Call to Order

2. Welcome

3. Fiscal Report a. Presentation of Draft Audit (Bourgeois Bennett, L.L.C.)

i. Discussion, Vote b. 1st Quarter Financial Report (Restovic)

4. Reports

a. Chair’s Report (Adams) i. Settlement Update

b. Executive Director’s Report (Restovic) i. John Scott Project Update ii. Lt. Governor Partnership

c. Development Committee Report (Boyle) i. Annual Fund Activity ii. Fundraising Activity

d. Governance Committee Report (Mangham) e. Personnel Committee Report (McGunagle) f. Government Relations Committee Report (Harkins)

5. Old Business

6. New Business

7. Date/Place of Next Board Meeting:

Reception @ Dorian Bennett’s, Thu. March 17, 6-9pm Board Meeting @ LEH, Fri. March 18, 9-11am

8. Adjournment

Page 1 2016Proj-BaISht-JAN15 2/12/2016,9 :01 AM

PROJECTION for the fiscal year Nov. 1st thru Oct. 31st

Fiscal Month no.: 3 I Approved FY to Date Annualized FisYrTD %

January-16 Budget Total Projection * To Budget

I Orig. REVENUES NEH 2013-16 (598-2nd yr.) $736,380 $145,000 736 ,380 1 20% NEH - Other $0 $0 0 NEH Public Prog. (Public Square 0 225,000 225,000 #DIV/O!

-Other Federal 0 0 0 Louisiana Cultural Vistas

Subscriptions 25,000 3,87 1 15,484 15%

Sales - single issues 1,500 108 432 7% Advertising 140,000 26,756 107,024 19%

Subtotal LCV 166,500 30,735 122,940 18%

Total Private Contributions Individuals 225,000 33,345 133,380 15% Corporations 650,000 6,850 27,400 1% Foundations 225,000 189,175 756,700 84%

Subtotal Contributions 1,100,000 229,370 917,480 21% Special (Awards) Events 100,000 0 100,000 0% Program Income 275,000 36,440 145,760 13% Interest 2,929 217 868 7% LEH Event Income 0 0 0 Other (incl. xfers,bldg.,ArtBk) 25,250 1,712 50,000 7% Rollover: Gen'l Fund see below 0 0

TOTAL REVENUES 2,406,059 668,474 2,298,428 28%

EXPENSES I-ADMINISTRATION Salaries 431,111 69,750 279,000 16% Fringe 173,099 -14,087 173,099 -8% Exp.Xfer between Grants (LCV,Kellogg) 0 0 0 #DIV/O! Consultant Exp. 180,000 -19,096 180,000 -11% Travel 12,000 4,404 17,616 37% Office Space (Rent) 0 0 0 #DIV/O! Telephone 12,000 2,541 10,164 21% Supplies 12,500 2,401 9,604 19% Printing 20,000 10,639 25,000 53% Duplication 11,500 2,917 11,668 25% Meetings I 25,000' 38 152 0% Equipment 4,000 289 1,156 7% Equip.Exp.-Comp.Software 5,000 407 1,628 8% Postage 8,000 6,084 16,000 76% Auditor I Tax prep. 13,800 10,000 15,000 72%

Page 2 2016Proj-BaISht-JAI'IJ 15 2/12/2016,9:01 AM

PROJECTION for the fiscal year Nov. 1st thru Oct. 31 st

Fiscal Month no.: I 3 I Approved FY to Date Annualized

I Projection * FisYrTD %

January-16 Budget Total To Budget

I Orig. Insurance (inc!. 0&0) 15,000

13,779 13,018

-15,000 87%

Federation 5,677 22 ,708 41% Subs & Pubs 1,400 1,295 5,180

3,636 93%

Bank 2,500 909 36% 0%Dues-Other, Fees, Awards 2,000 0 0

Other (inc!. bldg. Xfer) 0 793 -

3,172 #DIV/O! Community Relations 500 0 0 0% Special or Xfer exp o Q 0 0

(Oper. Exp.) Subtotal 943,189 97,979 789,783 10%

SPECIAL PROJECTS Divison of Education #DIV/O!

PRIME TIME (&PT-Gen'l) 969,614 414,987 969,614 43% Divison of Content

-488,288

#DIV/O! Prog.: LCV/KnowLA 401,336 122,072 30% ReGrants-NEH 68,000 13,788 55,152 ReG rants-Other

Subtotal 72,400 793 3,172 1%

541,736 551,640 1,516,226 102%

2,306,009 -

26%TOTAL EXPENSES 2,454,539 649,619

Net Receipts (w/o Cap.) -48,480 18,855 -7,581 -39%

* blue numbers are manual projections by Miranda and me, black numbers are spreadsheet calcufc

INSTITUTIONAL ADVANCEMENT REPORT TO THE LEH EXECUTIVE COMMITTEE FEBRUARY 12, 2013

MIKE BOYLE, DIRECTOR

Current Environment: Just as a prudent investor seeks to diversify in order to reduce risk, a prudent non-profit needs to diversify (or expand) its donor base so that the risk of having a significant downturn because of economic conditions it cannot control is reduced. The volatility of the stock market and of the price of oil show why it is extremely important that the LEH look beyond its existing pool of major supporters. Since October 30, 2015 the following has occurred in slightly more than 3 months: Oct. 30, 2015 Feb. 9, 2016 change % change S&P 500 Index 2,079 1,852 -227 -11% DJIA 17.664 16,014 -1,650 -9.3% W. Texas Crude $46.60/bbl. $27.97/bbl. -$18.63 -40% The financial well being of some our largest donors is directly tied to the price of oil. BHP Billiton, Shell Oil and Foundation, and The Helis Foundation are among our largest donors and while we will, of course, continue to work very closely with them to insure that their charitable giving expectations are met and exceeded the possibility clearly exists that their giving profile may be adversely impacted by oil’s price decline. Similarly, the private and community foundations that provide funding to the LEH may see their revenues decline as their equities portfolios lose value and interest rates stay low. Added to these financial “influencers” is the fact that Louisiana recently held a gubernatorial election (and other state and local elections) and a presidential election campaign is underway. Many of our potential major donors have been and/or will be solicited by campaigns/parties/causes for major contributions. All of this points to the absolute necessity for the LEH to aggressively expand its donor numbers across all levels of the giving pyramid. We are working with the Lt. Governor’s office, the Community Foundation of North Louisiana, and the Managing Director of Private Client Trust at JP Morgan to bring in a wide range of donors. We are asking board members to be diligent advocates for the LEH and work to increase those base numbers as well. Within the next 30 days a mailing will go out that will provide some guideline/ideas that all board members may utilize in order to actively participate in this endeavor. Current Initiatives: We are working closely with the Lt. Governor’s office in an effort to re-capture some the funding the LEH once had through the state. Part of that effort is having Lt. Gov. Nungesser directly assist the LEH in fund raising by writing letters, making phone calls, and actually participating in solicitation meetings. Given the state’s budget crisis, the odds of a large funding increase for Culture Recreation & Tourism are small. While it may be possible for the Lt. Governor to re-direct some of the funds already in his budget to the benefit of the LEH (Seafood Marketing Board for example), we all feel that developing strong public/private partnerships with the Lt. Governor’s office as a facilitator and the LEH as administrator, grantor, or actually implementing the program hold a great deal of promise for fund raising. Keep in mind that there are no other organizations quite like the LEH—we work in all 64 parishes, we’ve worked closely with all of Louisiana’s universities and major colleges, we work with K-12 schools, public libraries, museums, etc. And we publish a high-quality magazine and an online encyclopedia of Louisiana. Lt. Governor Nungesser has already sent out more than a dozen letters seeking table sponsors to the Bright Lights Awards event. He has solicited and will participate in a meeting with the Allstate Sugar Bowl for a $50,000 proposal to fund the Museum on Main Street Home Team Sports: How Sports Shaped America exhibition that begins in April. He is also interested in directly funding the 2018 MOMS exhibition, Water/Ways with Seafood Marketing Board funds.

We are moving forward on planned giving. Miranda and I met with a advisors from Williams Financial Advisors in Shreveport in January and they will facilitate a LEH presentation to the largest CPA/Financial Planning firm in Shreveport. Additionally, Paula Hickman the Executive Director of the Community Foundation of North Louisiana has offered to accompany us to area meetings with potential donors and to work with Foundation donors who might be interested in the LEH’s mission and in building our endowment that is held at the Community Foundation. Similarly, we are working with JP Morgan’s Private Client Trust Division to set up a reception and/or professional development program for financial/wealth/estate advisors and CPAs to be held at the LEH offices where attendees will learn about the LEH’s programs and how planned giving will make the LEH a stronger community asset. With each strategy, we need your active input and support. 2015-16 LEH Annual Fund YTD Individuals and Foundations $52,257 (15 first time givers) Plus 3 pledges 23,000 Subscriptions $5,370 (33 first time subscribers) Including bulk gift subscription purchases by Darnell Bludworth ($420) and Glenda Erwin ($400) Grants Awarded Pending

NEH Public Square $ 225,000 PRIME TIME Preschool Expansion $378,415 Baptist Community Ministries* 107,450 Kellogg Foundation 300,000 Deep South Studios 40,000 Shell Oil Company & Foundation 200,000 Pulitzer/ALA 34,650 Port of New Orleans 120,000 The Pennington Foundation 25,000 Community Foundation N. La. 75,750 Union Pacific Railroad Foundation 20,000 Allstate Sugar Bowl 50,000 Pugh Family Foundation 15,055 Beaird Family Foundation 50,000 Wisner Donation Fund 10,000 NEH-Dialogues on War 36,000 CITGO-Lake Charles 5,000 RosaMary Foundation 25,000 N.O Film Society 5,000 Keller Family Foundation** 25,000 Air Liquide Foundation 2,750 Wisner Foundation 20,000

Peyback Foundation 15,000

Total $489,905 Total $1,295,165 Note * year one of a 3-year, $350,000 grant. ** Capital Campaign request Capital Campaign Commitments: Helis Foundation: 3 year, $500,000 verbal commitment for initial work. WTA Architects: $45,000 in-kind donation of services.