RIO LINDA ELVERTA INCORPORATION COMMITTEE

Minutes from January 27, 2008

6:00 pm at Papa's Pizza

Directors in Attendance:  Bastian, Moore, Hayer, Johnson, McMaster,

                          Trautman

Directors Absent:  Connolly

Quorum: YES

Meeting called to order by President Jerry Trautman at 6:08 pm.

Minutes of June 24, and August 26, 2007, were not available to approve and will be provided for approval at the next RLEIC meeting.

Meetings that were to be held on September 23 and October 28, 2007, were cancelled due to no quorum present.  Trautman asked McMasters to place Agendas for these two meetings in the corporate file and to note that no minutes are available because meetings were cancelled due to no quorum.

There was a Special Meeting for Bingo on November 18, 2007.  Minutes from that meeting will be provided for approval at the next RLEIC meeting.

McMasters said she needs copies of the Agenda, Treasurer's Report, and Minutes from the June 24, 2007, and July 22, 2007, meetings for the corporate file. 

Treasurer's Report as of January 27, 2007, was presented by Moore.  Last report was on August 26, 2007, and there has been very little activity since that time.  Donations were $741.28.  Expenses were $1,925.00 with a current checkbook balance of $8227.62.  Moore will provide McMasters with copies of all the bank statements for the corporate file.   

Motion to Accept: McMasters 

Seconded:  Johnson

Motion unanimously carried

Moore apologized for not being able to accomplish some duties last year and said it would not happen again.  Board accepted her apology.

Trautman reminded the Board that their decision at a previous Board meeting was that RLEIC would focus on two things at this time:  1) Establishment of a Community Services Area 11 (CSA 11) in Rio Linda Elverta (RLE) to provide Extended Police Protection.  This will have to be approved by the voters in the area and will result in a Parcel Tax.  This would provide part of the revenue that the new town will need to sustain itself after incorporation, and 2) Search for donations and fund raising activities that will generate the required $300,000 that is needed to complete the incorporation process.  

RLEIC Minutes, January 27, 2008                              Page 2

Report of the Committee:  A. Fund Raising

1) Bingo:  Johnson reported that Trautman has been meeting with the property owner regarding the facility.  She doesn't think there will be any Bingo revenue before fall, 2008, because the Board will not charge the amount needed to get started now.  It will take 4 months to get a use permit and a use permit is required to get a Bingo license. The property owner will put up the $12,000 for the use permit that will have to be paid back by RLEIC with Bingo revenue.  There is also remodeling to be done as well as buying necessary equipment.  Equipment cost is estimated at $10,250, facility improvements of $24,000 plus working capital of $12,000 for a total of $46,250.

Previously the Board made a resolution to go forward with Bingo in three stages: 1) Get exemption certificate from state, 2) Get a Bingo authorization letter from State and start raising funds necessary to start Bingo, 3) Accomplish necessary facility improvements and acquire equipment.

The President's handout includes a drawing done by Hayer of how the Bingo facility will be remodeled and set up, seating summary, estimated budget, income comparisons, and estimated bingo revenue projections. Franklin Tilly volunteered to help during this phase.

Michael Huiras recommended that during the remodeling phase that the project be reviewed for ADA (American's Disability Act) compliance.

Acquisition of additional chairs for Bingo was discussed.  It was decided that used chairs will probably continue to be available and it is best to wait.  Trautman said he has purchased two bingo machines with a total of 4 flashboards.  He also purchased 72 stacking chairs.  He will donate this equipment to RLEIC when Bingo is ready to start.

Trautman reported that he has found on the internet tax returns from the Senior Gleaners and their Bingo revenue.  The tax returns do not reflect as much profit as was expected.  The Board discussed this issue.

2) $25 Club: Susan Trautman said total for campaign is currently at $2,175.

The $1000 donors are to receive a plaque.  These plaques have been designed and Board approved.  Moore will get them made and then the Board can decide how to deliver them to the donors. 

Jerry Trautman said he would like to send a letter out to the $25 Club reporting where the money went in 2007 and requesting additional donations.  Last year many of the $25 Club members received a RLEIC pin with a gold star on it.

Instead of sending a letter right now to the $25 Club or publishing the first newsletter, the Board decided that Trautman should send a

RLEIC Minutes, January 27, 2007                              Page 3

letter to all people that have contributed to Incorporation, listing the past accomplishments and future plans of RLEIC.  These

contributors are considered members of RLEIC.  The letter will show where the donated funds were spent and also request that the members make additional donations to fund future endeavors.  Trautman will draft letter and e-mail to Board members for review.  Once written with Board input it will be mailed to RLEIC membership.    

Additional mailings were also discussed to other groups in the future.  This will be reviewed at a future meeting.

Michael Huiras suggested that RLEIC plan a spaghetti dinner as a fund raiser.  This event could coincide with the opening of the Bingo facility.  It would introduce Bingo and its facility to the community, and raise funds at the same time.

3) Carnivals: Johnson reports that there is a possibility of three carnivals for this summer but she doesn't have any signed contracts.  Johnson and Moore continue to work to schedule carnivals for fund raising.

B. Public Relations and Education: Michael

Huiras informed the Board about the status of the RLEIC web-page.  Samples of what has been constructed so far were shown to the Board.  Johnson requested that an early map of Elverta be also included.  If a usable map is found it will be added.  If not it can be added later. Moore asked that credit for funding the train station replica be given to the County, Parks & Recreation, & the Lions.

RLEIC now has a Rio Linda mail box in addition to the Elverta mail box.  The Rio Linda address, PO Box 1021, Rio Linda, CA 95673, will be used for fund raising on the web-site. The Rio Linda address will be the official address.  The bank statements, checks, and related items will go to the Elverta address, PO Box 697, Elverta, 95626. The PR Committee members will continue to review and adjust the documentation on the web-site and will launch the web-site before the next RLEIC meeting. The web address is riolindaelvertatown.org.  

Bastian asked that the web-site be reviewed and changed to reflect that Rio Linda, North Highlands, Del Paso and Grant school districts will cease to exist after June 30, 2008, and they will be replaced by Twin Rivers Unified School District on July 1, 2008. 

Motion to go forward with launch of Web-Site: McMasters  

Seconded:  Bastian

Motion unanimously carried

C. President's Report: Jerry Trautman

wants to get the RLEIC Newsletter distributed but says it probably needs to wait until after the web-site is launched.  The newsletter can include information on bingo, election of officers and directors, budget and finance information.

RLEIC Minutes, January 22, 2007                              Page 4

Trautman asked Moore to get an article in "The News" regarding the election of officers and directors at the February 24, 2008 RLEIC meeting. 

CSA 11: Trautman spoke to Roger Dickinson Saturday regarding CSA 11 at the Twin Rivers Unified School District meeting.  Dickinson said he would try to help Trautman "get this thing moving".  There is a new under sheriff, Tom McMahan, now involved with this.  Dickinson asked Trautman to send another e-mail to the under sheriff with a copy to Dickinson.  Dickinson now admits that CSA 11 is a viable discussion point.

Huiras said Rancho Cordova has received grant funds for additional police service from the sheriff.  Trautman said that this is one of the problems with Rio Linda Elverta not being a city.  Cities can go out for grant funds, while Rio Linda Elverta does not have the same opportunities because it is under the County. Rancho Cordova's initial budget was $10 or $11 million dollars.  Now it is over $40,000,000 because a City can go after many additional funding sources that are not available to county areas.  Every so often there is an article in the Sacramento Bee calling Sacramento County the "un-city".  The County tries to provide municipal services without the resources available to municipalities.  The County just doesn't have the resources to provide necessary services.  CSA 11 is "just dragging along" right now.  Trautman will continue "go after it". 

Status of Exemptions: Trautman's handout includes copies of the federal and state forms indicating that they have received RLEIC applications for tax exemptions.  The federal form said they received the application December 10, 2007, and we should expect a reply within 60 days.  The state form said we should expect a reply within 90 days after December 17, 2007.

Bastian asked if RLEIC wants to take a position on Grant Police.  Twin Rivers will have jurisdiction over the Grant Police beginning July 1, 2008.  The police have a large budget in the Twin Rivers budget; about $3 million with 21 officers.  They also serve 3 parks and recreation districts including Rio Linda Elverta.  There are some Twin Rivers Board members that are very very critical of them. Twin Rivers is contractually obligated to retain these employees for two years starting July 1, 2008.  Trautman said he would be happy to debate this and will put it on the agenda of another RLEIC meeting.

Old Business:               A. Serendipity - Trautman said he was happy with the Donee Agreement as shown in his handout.  It really doesn't commit RLEIC to anything undesirable.  RLEIC can revoke the agreement for cause or no cause with a 30 days written notice.  Serendipity can use RLEIC's name.  It is important that RLEIC not be a "sponsor".  Serendipity is the sponsor, RLEIC is the donee. Trautman recommends that the 4 Board members that are not involved in Serendipity, Bastian, Hayer, McMasters and Trautman vote yes if

RLEIC Minutes, January 22, 2007                              Page 5

they approve that he sign the contract.  Johnson and Moore, as principals of Serendipity, cannot vote.

Motion to Accept: Bastian   

Seconded:  McMasters

Motion carried: 4 yes, 2 abstained

New Business:               A. Nomination of Directors - Trautman nominated Bob Bastian, Erwin Hayer, and Jerry Trautman for the three open positions and asked if there were any other nominations. Johnson nominated Lloyd Bakan who declined.  Hearing no other nominations, they were closed.  The election of directors will take place at the February 24, 2008 membership meeting. 

B. Trautman said he received a letter of

resignation from Linda Connolly and her resignation was accepted. Trautman then appointed Michael Huiras to fill the unexpired term which will end at the next election in February, 2009.

Motion to Accept: McMasters 

Seconded:  Johnson

Motion unanimously carried:

C. McMasters has resigned as recording

Secretary but will continue on the Board as Corporate Secretary. Jerry Trautman appointed Susan Trautman as a sub committee member to assist McMasters with the duties of Secretary by taking and transcribing minutes, keeping a roster of members and any other secretarial duties agreed upon between McMasters and S. Trautman.   

Adjournment: Meeting was adjourned at 8:15 pm     

Next Meeting:     Sunday, February 24, 2008, at 5:00 pm