MINUTES

 

KEDC Executive Committee

October 17, 2007

Hyatt Regency Downtown, Lexington, Kentucky

 

 

Members Present

Mr. Coy Samons, Executive Committee Chairman, Paintsville Independent Schools

Mr. Steve Butcher, Wolfe County Schools

Ms. Kelley Crain, Fleming County Schools

Mr. Tim Eaton, Pulaski County Schools

Mr. Larry Hammond, Rockcastle County Schools

Ms. Linda Hatter, Casey County Schools

Mr. Burt Hensley, Estill County Schools

Mr. Charles Mitchell, Menifee County Schools
Mr. Tim Moore, Mason County Schools

           

Members Absent

Mr. Mark Blackburn, Martin County Schools
Mr. Dennis Byrd, Williamsburg Independent Schools

 

KEDC Staff and Others Present

Mr. Stan Riggs, Executive Director & Board Secretary

Ms. Tammy Vonderheide, Business Manager

Ms. Terri White, Executive Assistant / Webmaster

Mr. Joe Dan Gold, Morgan County Schools

 

 

1.      Call to Order/Confirm Presence of Quorum (>50% requires 6 of 11 members)
The meeting was called to order by KEDC Executive Chairman Mr. Coy Samons with nine (9) members present.

 

2.      Actions With Discussion

2.1.   Approval of Minutes
The minutes were
approved on a motion by Mr. Tim Eaton, seconded by Mr. Steve Butcher.

Recommend approval of the minutes of the September 19, 2007 Executive Committee meeting.

 

2.2.   Approval of Board Business Session Action Items
The Board Business Session Items were approved on a motion by Mr. Steve Butcher, seconded by Mr. Tim Moore
Recommend approval of the recommended Action Items in the separate Business Agenda.

 

 

 

3.      Actions with Discussion
The recommendation for KEDC to establish a $500,000 line of credit was approved on a motion by Mr. Tim Moore, seconded by Mr. Tim Eaton.

 

3.1.   Line of Credit

Recommend authorization to establish and be the signatory for a $500,000 line of credit with First & Peoples Bank of Russell, Kentucky to cover cash flow needs due to the large amount of receivables.  The current receivables of $1,205,000 include $340,000 due from the state Adult Ed programs plus approximately $600,000 due from USF funded technology projects.  Adult Education was three and one/half months into the year when they paid us last year and we are again three and one/half months into this year and we have not received any AE funds.  The USF has historically been very slow in paying KEDC and the districts funds due for completed projects.  Our carryover balance normally covers our cash flow needs but the line of credit is needed to assure that payrolls are met and that we can pay our bills.  Our cash balance as of October 15 is approximately $57,000 and we are holding vendor bills unpaid.  The October 31 payroll will require more than $100,000. 

4.      Communications and Items for Review and Discussion Only

4.1.   Discussion of Issues with Adult Education Program
Funding delays; no indirect cost provision; not a K-12 program (mission drift or drain).

5.      Adjourn 

There being no further business, the meeting was adjourned on a motion by Mr. Steve Butcher seconded by Ms. Linda Hatter.

 

 

KEDC Executive Committee

October 17, 2007

 

 

 

______________________________

Mr. Coy Samons

Chairman, KEDC Executive Committee