Minutes of Special Board Meeting
December 19, 2005
Community members present:
Barry Gilbert
Joe Juhasz
Christy Barden
Mike Massa
Liz Valles
Clover
Joe Pazillo
LeAnne Schamps
Evan Perkins
Ruth Blackmore
Davide Andreas
Brad Rosenzweig
Sherry Stevenson
Mouse Bradshaw
Jim Cannon
Kathleen Martindale
Celina
Marcella Marschel
Mike and Florence Jones
Phil Dougan
Eric Patterson
Tim Lenk
Leslie Lomas
Richard Strobel
Don Dean
Jill Rosenbloom
Chris Friedman
Don Barshay
Ann Colcord
Neil Parker
Michael Bradshaw
Yukari
Joel Edelstein
Jim Ciarlo
Daria
Guy Ericson
Board members present:
David Kane, Marge Taniwaki, Michael Shuster, Steven Sherman-Boemker, Kit Hollingshead, Greg O’Brian, Paul Misho, Janaki LeFils, Chip Grandits. Marty Durlin.
Michael Shuster called the meeting to order at 6:05 pm.
Station Manager Marty Durlin provided a summary of the issue of refinancing a $500,000 debt currently held by the seller of 1390 AM, with a commercial lending institution requiring using the KGNU building as collateral. If the debt were to be refinanced before January 1, 2006, KGNU would realize an immediate $76,000 windfall. The Board considers this an important consideration because a term in the original promissory note would have all interest that has accrued on the original $3.1 million debt be forgiven if the original debt is fully retired before 2006.
A discussion ensued among the listener members present, focusing on the promise that was made to the community by the Board and staff two years ago before 1390 was purchased that the building would not be used to purchase the signal. It culminated in a straw vote introduced by Christy Barden of the listener members present, on three issues: Are you in favor of the refinancing using the building as collateral? The vote was split. Secondly: Do we trust the Board to make the decision? All but two voted yes. And finally: The group was asked who was undecided about the issue. Most present voted that they were undecided.
Each Board member was asked to give their thoughts about the issue, and some discussion ensued. Paul Misho called for a vote, ending the discussion, and the Board voted to end the discussion and vote.
Chip Grandits offered a motion : Should KGNU refinance the $500,000 debt held by the seller of 1390 AM by using the KGNU building as collateral, thus realizing a savings of $76,000? Janaki asked that this be added: If so then immediate work would be done to determine a way to move the building out of that collateral position.
The motion was seconded by Paul Misho.
A roll vote was taken.
David Kane: YES
Marge Taniwaki: NO
Michael Shuster: YES
Steven Sherman-Boemker: YES
Kit Hollingshead: YES
Greg O’Brian: NO
Paul Misho: NO
Janaki LeFils: YES
Chip Grandits: YES
The motion passed by a vote of 6 to 3.
The meeting was adjourned at 8:30 pm.
Respectfully submitted:
Janaki LeFils, Secretary