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[1. Call General Session to Order]
MEMBERS OF THE FINANCE AND AUDIT COMMITTEE AND GUESTS, THIS IS BILL FLORES, COMMITTEE CHAIR.WELCOME TO THE JUNE 17TH, 2024 FINANCE AND AUDIT COMMITTEE MEETING.
I HEREBY CALL THIS MEETING TO ORDER.
THIS MEETING IS BEING WEBCAST LIVE TO THE PUBLIC ON OUR CO'S WEBSITE.
I HAVE CONFIRMED THAT A QUORUM IS PRESENT IN PERSON BEFORE MOVING ON TO TODAY'S BUSINESS.
I'LL HIGHLIGHT TO COMMITTEE MEMBERS THAT THE ANTITRUST AMMUNITION AND SECURITY MAP ARE INCLUDED WITH THE POSTED MEETING MATERIALS.
THE FIRST ORDER OF BUSINESS IN TODAY'S AGENDA IS ADDED TO NOTICE OF PUBLIC COMMENT, IF ANY, IF TODAY'S MEETING AGENDA WAS POSTED PUBLICLY ON JUNE 10TH, PROVIDED INSTRUCTIONS FOR THE PUBLIC TO COMMENTING IN PERSON TO DATE, NO ONE HAS EXPRESSED AN INTEREST IN COMMENTING.
IS THAT CORRECT, CHAD? THAT IS CORRECT.
UH, THE NEXT GEN NEXT ITEM IS AGENDA
[3. April 22, 2024 General Session Meeting Minutes]
ITEM THREE, APRIL, 2022.GENERAL SESSION MEETING MINUTES.
THERE'S A DRAFT IN THE MEETING MATERIALS.
DOES ANYONE HAVE ANY COMMENTS OR WISH TO MAKE A MOTION? SECOND.
ANY OPPOSED? ANY ABSTENTIONS MINUTES ARE APPROVED.
NEXT ARE THE ITEM OR THE COMMITTEE BRIEFS.
SEAN TAYLOR IS GONNA PRESENT AGENDA
[4.1 Review 2024 Financial Summary]
ITEMS 4.1 THROUGH 4.3 STARTING WITH THE 2024 FINANCIAL SUMMARY FOLLOWED BY THE PERIODIC REPORT ON INVESTMENTS.AND FINALLY THE PERIODIC REPORT ON DEBT COMPLIANCE.
SO WE LOOK AT FINANCIAL SUMMARY FOR THROUGH THE END OF APRIL AND OUR YEAREND FORECAST, OUR NET AVAILABLE OF YEAREND FORECAST.
VARIANCE TO BUDGET INCREASED ABOUT $4 MILLION VERSUS THE LAST TIME I WAS HERE.
ALL OF THAT INCREASES ON THE EXPENDITURE SIDE AND WE'LL WALK THROUGH THE REASONS FOR THOSE.
ON THE REVENUES SIDE, THAT'S DOWN ABOUT $800,000 VERSUS THE LAST TIME WE SAW IT, IT'S DOWN TO $61.1 MILLION.
FAVORABLE, STILL DRIVEN BY THE INTEREST INCOME SYSTEM.
ADMIN FEES ARE ACTUALLY ABOUT A LITTLE OVER A MILLION DOLLARS MORE FAVORABLE THAN LAST TIME WE SAW THEM.
THAT IS BECAUSE OF WHAT HAPPENED IN MAY AND WE'LL SEE THAT ON THE NEXT SLIDE.
WE LOOK AT THE DEPARTMENT REVENUES, THOSE INCREASED A LITTLE OVER A MILLION DOLLARS AS WELL AND THAT'S DRIVEN BY THE INSPECTION REVENUE THAT YOU SEE THAT'S MORE FAVORABLE THAN BEFORE BY A LITTLE OVER A MILLION DOLLARS.
THEN THE INTEREST INCOME WE'RE ACTUALLY SHOWING THAT IS A DECREASE IN THE YEAR END FORECAST BY ABOUT $3 MILLION AND THAT IS DRIVEN BY FAIR MARKET VALUE ADJUSTMENTS AND WHAT WE'RE PROJECTING FOR THOSE AT THE END OF THE YEAR.
'CAUSE WE'LL HAVE THAT LARGE, WHICH AS YOU MAY RECALL, WE STARTED PUTTING IN THAT ADJUSTMENT EVERY MONTH.
BUT THAT IS THE IMPACT VERSUS LAST TIME AS WE'VE SEEN THE RATES AS YOU KNOW, IF THE RATES DECREASE THEN THE VALUE OF THE BONDS WE HOLD INCREASE AND VICE VERSA.
AND SO WITH THE NEW ANNOUNCEMENTS ABOUT WHAT'S HAPPENING WITH THE RATES AND THAT THEY'RE NOT LIKELY TO DECREASE FOR THE REST OF THE YEAR, WE'VE JUST ADJUSTED THAT FAIR MARKET VALUE ADJUSTMENT.
ON THE EXPENDITURE SIDE, THAT IS ABOUT $5 MILLION MORE FAVORABLE THAN LAST TIME WE SAW IT AND GO THROUGH THE COMPONENTS OF THAT PROJECT.
EXPENDITURES IS ABOUT FLAT, IT'S ABOUT A HUNDRED THOUSAND DOLLARS DIFFERENCE.
RESOURCE MANAGEMENT IS ABOUT $2.4 MILLION MORE FAVORABLE.
TWO PRIMARY DRIVERS OF THAT ARE THE PROJECT WORK.
WE'RE SEEING MORE PROJECTS WORK THAN WE HAD PROJECTED LAST TIME AND AS YOU MAY RECALL, WHEN WE'RE LOOKING AT LABOR FROM A PROJECT PERSPECTIVE, THAT MONEY THEN FLOWS FROM THE OPERATIONS BUDGET OVER INTO THE CAPITAL BUDGET.
SO IT'S SHOWING A FAVORABLE VARIANCE ON HERE AS MORE OF THE LABOR FROM ERCOT EMPLOYEES IS BEING SPENT ON THOSE CAPITAL PROJECTS OR PROJECTED TO BE.
THE OTHER IS IN THE STAFFING MANAGEMENT, IT'S ABOUT A MILLION AND A HALF DOLLARS MORE FAVORABLE THAN THE LAST TIME WE SAW IT.
1,000,003 OF THAT IS ALL MEDICAL EXPENSE.
WE'RE SEEING MORE FAVORABLE RETURNS ON THAT RELATIVE TO THE CLAIMS THAT WE ARE EXPERIENCING.
SO WE'VE ADJUSTED THAT FORECAST FOR THE END OF THE YEAR.
OF COURSE THAT CAN CHANGE ON A MONTHLY BASIS AND CAN CONTINUE TO DO SO.
YES, PEGGY, CAN YOU EXPLAIN WHAT'S WHAT YOU INCLUDE IN STAFFING MANAGEMENT? THAT IS ALL OF THE EMPLOYEE COSTS, CONTINGENT WORKER COST AND A LITTLE BIT OF VENDOR SERVICES IF IT'S EQUIVALENT TO WHAT CONTINGENT WORKER WOULD BE DOING.
SO WHAT DOES THAT THIS TELL US? UH, THAT 9.4 FAVORABLE THAT TELLS US THAT WE ARE, WE HAVE OUR FAVORABLE MEDICAL VARIANCE AND THEN WE BUDGETED A 3% VACANCY AND RIGHT NOW WE'RE PROJECTING ABOUT A SIX
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AND CHANGE PERCENT VACANCY.WE ARE WELL ON OUR WAY OF STAFFING UP.
SO AS OF THIS MORNING WHEN I LOOKED, WE WERE AT ABOUT 944 EMPLOYEES.
THIS FORECAST CALLS FOR A WEIGHTED ACROSS THE YEAR OF 945.
SO GIVEN THAT WE'RE AT JUNE, WE COULD END UP A LITTLE BIT.
THE NUMBER COULD GO DOWN AS WE MOVE FORWARD AND WE EAT INTO THAT VACANCY.
WE EXPECTED TO SEE THIS BECAUSE WE KNEW WE WOULDN'T RAMP UP IMMEDIATELY, BUT WE KEPT, AND WE'VE HAD THIS CONVERSATION BEFORE SO I DON'T WANNA REPEAT EVERYTHING TO Y'ALL IF IT'S BORING TO YOU, BUT WE EXPECTED THAT VACANCY TO FEED UP AND THEN WE HAD A BALANCE BETWEEN TWO YEARS.
SO 24 AND 25 WE USED THE SAME VACANCY RATE IN BOTH AS OPPOSED TO PUTTING A HIGHER VACANCY RATE IN THE BUDGET IN 24 AND A LOWER ONE AND 25 FOR THE OTHER EXPENDITURES.
THOSE ARE FAVORABLE BY ABOUT $2.6 MILLION VERSUS THE LAST, LAST TIME WE SAW 'EM.
AND THAT IS DRIVEN BY COMMON INFRASTRUCTURE SPEND.
AS A REMINDER, COMMON INFRASTRUCTURE OR THE COMMON HARDWARE AND SOFTWARE PURCHASES THAT WE MAKE AND THE TIMING OF THOSE, WE ARE NOW FORECASTING A TWO, $2.4 MILLION FAVORABLE VARIANCE IN COMMON INFRASTRUCTURE FOR THE END OF THE YEAR BECAUSE OF THE WAY THAT WE'VE BEEN ABLE TO REUSE EXISTING HARDWARE AND ALSO THE TIMING OF SOME OF OUR MAJOR PURCHASES.
SO IT COULD CHANGE BY THE END OF THE YEAR DEPENDING ON WHAT HAPPENS, BUT THAT'S WHAT IT IS DRIVING THAT CHANGE FROM THE LAST TIME WE SAW THAT NUMBER.
THE OTHER ITEM ON HERE THAT LOOKS MATERIALLY LARGER THAN LAST TIME WE SAW IT IS THE OTHER MISCELLANEOUS EXPENDITURES, WHICH IS COMPRISED OF A LOT OF ITEMS. THE TWO ITEMS THAT ARE MAKING UP THE BIGGEST CHUNKS OF THAT ARE HARDWARE, SOFTWARE, MAINTENANCE AND SUPPORT.
WE'VE GOTTEN SOME BETTER THAN PROJECTED DEALS IN A FEW AREAS, SO THAT'S ALLOWING FOR SOME OF THAT SAVINGS AS WELL AS EMPLOYEE TRAINING AND TRAVEL.
SO BUSINESS TRAVEL AND TRAINING IS CURRENTLY UNDER BUDGET FROM WHERE WE EXPECTED IT TO BE PREVIOUSLY AND THAT TOO COULD POTENTIALLY CHANGE AS THE YEAR CONTINUES.
WE LOOK AT OUR MONTHLY LOAD CHART.
AS I MENTIONED, THE BIGGEST CHANGE THAT WE'VE SEEN IN THIS VERSUS WHEN I SHOWED IT TO YOU LAST TIME IS THE MONTH OF MAY.
YOU CAN SEE IN THE MONTH OF MAY ON THE TOP WHERE UNDER LOAD WHERE WE HAD 40.2 AND THIS SAYS FORECAST, BUT THESE ARE THE ACTUAL NUMBERS AT THIS POINT.
SO THEY CAME IN WHERE WE WERE EXPECTING IT TO BE WHEN WE FILED THESE MATERIALS.
SO THAT 40.2 OF ACTUAL SLASH FORECAST FOR MAY WAS ONLY 37.9 THE LAST TIME WE SAW IT.
THAT COMES OUT TO BE ABOUT 1,000,004 CHANGE JUST FROM THE MONTH OF MAY AND THAT'S WHAT'S DRIVING THE CHANGE THROUGHOUT THE REST OF THIS YEAR.
AND YOU'LL SEE AT THE END IN THE BOTTOM RIGHT HAND CORNER WHERE WE HAVE THAT 1.8 MILLION THAT THAT WE DOLLARS THAT I MENTIONED AND THAT 0.6% VARIANCE TO BUDGET SO FAR THROUGH THE END OF APRIL.
THEN WHAT WE'VE SEEN IS THAT THE WEATHER VARIANCE IS ACTUALLY NEGATIVE AND THE ECONOMIC VARIANCE IS POSITIVE.
YOU HAVE THE DETAILS IN THERE, BUT IT'S APPROXIMATELY $9 MILLION NEGATIVE ON THE WEATHER SIDE AND JUST UNDER SEVEN POSITIVE ON THE ECONOMY SIDE.
MOVING ON TO OUR BALANCE SHEET, VERY CONSISTENT WITH OUR LAST MEETING.
I LOOK AT A COUPLE OF ITEMS TO HIGHLIGHT TOTAL UNRESTRICTED CASH AND BOND INVESTMENTS VERSUS OUR LAST MEETINGS UP $15 MILLION.
THE RESTRICTED CASH AND INTEREST RECEIVABLE AS WELL AS THE SECURITY DEPOSITS AND INTEREST PAYABLE ARE UP THE MOST ON THIS PAGE, ABOUT $80 MILLION.
EVERYTHING ELSE IS RELATIVELY CONSISTENT AND HAS TO DO WITH OPERATIONAL TIMING OF WORKING CAPITAL.
ON THE INCOME STATEMENT SIDE, AGAIN, THIS IS PRETTY CONSISTENT WITH WHAT WE'VE SEEN.
A FEW THINGS TO NOTE AS WE LOOK AT ERCOT INC.
THEN OUR INCREASE IN OPERATING REVENUES DRIVEN BY THE SYSTEM ADMIN FEE REVENUE INCREASE YEAR OVER YEAR.
ABOUT A THIRD OF THAT $15 MILLION IS DUE TO INCREASED MEGAWATT HOURS AND THEN ABOUT TWO THIRDS OF IT'S DUE TO THE INCREASE IN RATE THAT WE PUT IN PLACE ON THE EXPENSE SIDE, SIMILAR TO WHAT WE WERE TALKING ABOUT BEFORE IS THAT THAT IS DRIVEN BY THAT SALARY AND RELATED BENEFITS EXPENSE.
WE'RE UP ABOUT A HUNDRED PEOPLE YEAR OVER YEAR.
AND FINALLY ON THE OTHER INCOME, THAT INTEREST INCOME IS SIMILAR TO WHAT WE SAW BEFORE TOO, WHERE THIS IS ACTUALLY SHOWING A DECREASE YEAR OVER YEAR AND THAT'S BECAUSE
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OF THAT FAIR MARKET VALUE ADJUSTMENT.AS A REMINDER, WE HOLD ALL OF OUR BONDS, WE INTEND TO HOLD ALL OF OUR BONDS TO MATURITY SO NONE OF THAT FAIR MARKET VALUE ACTUALLY GETS ADJUSTMENT, ACTUALLY GETS REALIZED.
IT'S JUST ACCOUNTING ENTRIES UNTIL WE GET TO REACH THAT POINT.
BUT TO BE ALIGNED WITH THE GAP, WE NEED TO MAKE SURE THAT WE HAVE IT IN THERE AND WE'RE DOING IT ON A MONTHLY BASIS.
WE LOOK AT OUR CRR CHARTS, YOU CAN SEE THAT THAT IS STILL FLAT, IT'S ACTUALLY DOWN A LITTLE BIT VERSUS MARCH STILL MARCH WAS OUR HIGH POINT, YEAR OVER YEAR.
SIMILAR STORY TO WHAT WE'VE BEEN MENTIONING BEFORE AS FAR AS THE LESS THAN 12 MONTHS AND THE GREATER THAN 12 MONTHS CRR AUCTION RECEIPTS THAT WE'RE HOLDING.
AT OUR LAST MEETING WE HAD AN INCREASE YEAR OVER YEAR.
200 OF THAT WAS IN THE LESS THAN A YEAR AND 80 WAS IN THE GREATER THAN A YEAR.
THIS MEETING, WE HAVE ABOUT $56 MILLION INCREASE YEAR OVER YEAR.
160 OF THAT IS LESS THAN ONE YEAR AND 105 OF THAT DECREASE IS IN THE GREATER THAN ONE YEAR.
SO WE'RE STILL SEEING THAT GREATER THAN ONE YEAR BALANCE CONTINUE TO DECLINE.
SEAN, JUST THE, THE INCREASE IN THE AMOUNT OF CRR FUNDS, IS THAT JUST REFLECTIVE OF A MORE CONGESTED GRID DUE TO HIGHER DEMAND? IS THAT WHAT'S DRIVING? YOU KNOW, YOU LOOK AT THIS CHART, YOU KNOW I'VE SEEN IT ROUGHLY DOUBLES OVER THAT TIME PERIOD THAT YOU'VE SHOWN HERE.
AND SO IF YOU GO BACK IN TIME AND IT, THERE'S MULTIPLE FACTORS IN THERE AND A LOT OF THIS IS USED FOR HEDGING OR SPECULATION AS WELL, BUT WHAT THE, WHEN WE'RE TALKING ABOUT THE RRS, THE ACTUAL AUCTIONS THEMSELVES, BUT THAT'S REFLECTIVE OF THAT EXPECTATION OF CONGESTION AND THERE'S ALSO INCREASED VOLUME ACROSS TIME DEPENDING ON WHICH YEAR WE'RE LOOKING AT.
THEN THERE WERE THE INCREASED PRICES AFTER YURI THAT WENT UP QUITE A BIT AS WELL.
SO IT'S A COMBINATION OF EFFECTS, BUT YEAH, AND THAT'S WHY WE'VE STARTED TO SEE IT LEVEL OFF.
WE THINK WE'VE REACHED THAT POINT WHERE IT SHOULD BE PRETTY CONSISTENT.
THERE'S SEEMS THERE'S LESS CONCERN.
YOU COULD IMPLY THAT THERE'S LESS CONCERNED ABOUT IT AS YOU GO FORWARD OR YOU COULD INFER RATHER THAT THERE'S LESS CONCERN ABOUT IT AS YOU GO FORWARD.
GIVEN THAT WE'RE SEEING A REDUCTION IN THE GREATER THAN TWO YEAR AMOUNTS OR GREATER THAN ONE YEAR AND TWO YEAR AMOUNTS, THOSE CONTINUE TO DECREASE YEAR OVER YEAR VERSUS THE CURRENT PERIOD WHERE IT WOULD POTENTIALLY BE MORE HEDGING THEN THAT'S INCREASING.
UM, THEN WHEN WE LOOK AT THE KEY TAKEAWAY AT THE BOTTOM ABOUT THE CASH AND BOND INVESTMENTS EXCEEDING MARKET LIABILITIES, SO IN EFFECT ER'S OPERATING CASH, IGNORING THE OTHER, UM, OTHER ACCOUNTS FOR WORKING CAPITAL.
THEN WE HAVE AT OUR LAST MEETING WE'RE LOOKING AT ABOUT $72 MILLION.
SO THIS IS UP ABOUT 12 MILLION VERSUS OUR LAST MEETING AND IT'S ABOUT $2 MILLION MORE THAN WHAT WE SAW IN DECEMBER.
SO WE'RE PRETTY MUCH IN LINE WITH WHERE WE'RE AT THE END OF DECEMBER.
WE WOULD EXPECT TO SEE THIS NUMBER TO CONTINUE TO INCREASE THROUGH THE SUMMER AS WE HAVE THE HIGHER LOAD FOR THIS FROM THE SUMMER AND THEN DE START TO DECREASE AS WE HIT THE WINTER DEPENDING ON WHAT HAPPENS WITH THE INTEREST RATES.
THAT'S ALL I HAVE ON THIS SECTION BEFORE I MOVE ON TO INVESTMENTS, UNLESS SOMEBODY HAS OTHER QUESTIONS? ANY OTHER QUESTIONS? OKAY, LET'S KEEP GOING.
[4.2 Periodic Report on Investments]
ALL RIGHT, SO ERCOT IS IN COMPLIANCE WITH ALL OF OUR INVESTMENT REQUIREMENTS THROUGH THE END OF APRIL, WHICH IS THE DATE OF THIS.SO WE LOOK AT THE MONEY MARKET MUTUAL FUNDS VERSUS THE LAST TIME YOU SAW 'EM, OUR RETURN ON THOSE, THE YIELD HAS DROPPED BY ONE BASIS POINT, IT WAS FIVE 19 VERSUS THE FIVE 18 WE'RE SHOWING HERE.
AND THEN THE TREASURY OBLIGATION PORTFOLIO WAS EIGHT BASIS POINTS.
IT WAS 5 28 VERSUS THE FIVE 20.
SO WE HAVE SEEN A SLIGHT DECREASE IN THOSE AS WE LOOK AT THE COMPLIANCE FOR THE MONEY MARKET MUTUAL FUNDS.
THEN THERE IS ONE ITEM I WANNA HIGHLIGHT ON THIS PAGE.
SO THE THIRD ITEM DOWN IS THE PIECE THAT TALKS ABOUT CONCENTRATION ANALYSIS BEING NO MORE THAN 10% IN MAINTAINED IN ANY ONE MONEY MARKET MUTUAL FUND.
SO IN THE MONTH OF MAY, THERE WAS ONE DAY, AND YOU'LL SEE THIS WHEN WE BRING BACK THE NEXT REPORT WHERE WE EXCEEDED THAT 10% IN ONE OF THE MONEY MARKET MUTUAL FUNDS.
IT WAS REMEDIED THE FOLLOWING DAY AND IT WAS ABOUT 10.2% BUT IT WAS OUTSIDE OF TECHNICAL COMPLIANCE BUT VERY MINOR AND THEN WE'VE REMEDIED IT.
BUT THAT WILL SHOW UP NEXT TIME FROM THE TREASURY OBLIGATION PORTFOLIO THEN WE'D HAVE NO ISSUES WITH THAT.
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VERY CONSISTENT WITH WHAT WE SAW LAST TIME.THE UNRESTRICTED MONEY MARKET MUTUAL FUNDS ON HERE AT 430 MILLION VERSUS THEIR 423 BEFORE.
AND THEN SIMILARLY, THE UNRESTRICTED TREASURY OBLIGATION PORTFOLIO WAS 1.839 BILLION VERSUS NOW IT'S ONE POINT OR IT WAS 1.832 VERSUS NOW IT'S 1.839.
ANY QUESTIONS ON INVESTMENTS? I'LL MOVE ON TO DEBT.
[4.3 Periodic Report on Debt Compliance]
SO WE ARE IN COMPLIANCE, ALL THE DEBT REQUIREMENTS AND THEN FROM THE ERCOT INC.DEBT PLACE, WE DO HAVE A COUPLE OF CHANGES ON THIS SINCE THE LAST TIME YOU SAW IT, ALTHOUGH THEY'RE STILL IN COMPLIANCE.
SECOND LINE FROM THE BOTTOM PROVIDE FINANCIAL STATEMENTS ANNUALLY.
WE PROVIDED THOSE AFTER THOSE AUDITED STATEMENTS AFTER Y'ALL APPROVED THEM BACK IN APRIL.
SO WE SENT THOSE OUT AT THE END OF THE MONTH AND THEN WE PROVIDED THE QUARTERLY STATEMENTS SO THE MARCH STATEMENTS WENT OUT UH, IN MAY.
FROM THE SECURITIZATION PERSPECTIVE, WE'RE IN COMPLIANCE WITH ALL OF THAT STUFF AS WELL.
WE'LL TALK A LITTLE BIT MORE ABOUT THE SECURITIZATION AND EXECUTIVE SESSION TOO.
ANY QUESTIONS ON THIS BEFORE I MOVE ON TO FUTURE AGENDA ITEMS? NO, THANK YOU SEAN.
[5. Future Agenda Items]
SO AS SEAN SAID, THE NEXT ITEM IS FUTURE AGENDA ITEMS AND SEAN IS ALSO HAS THAT PART OF THE AGENDA.SO AS WE LOOK FORWARD TO AUGUST, THERE'LL BE A LITTLE MORE ACTION PACKED THAN TODAY.
TODAY IS PROBABLY THE EASIEST MEETING WE'VE EVER HAD OR MOST STREAMLINED.
SO, AND WHEN YOU COME BACK IN AUGUST, THERE'S A FEW THINGS I WANNA HIGHLIGHT ON HERE.
FIRST IS YOU'LL SEE THAT THERE'S BEEN A NEW ROW ADDED, SO WE'RE NOW UP TO EVEN 40 INSTEAD OF OUR 39.
SO ROW 13 WAS ADDED AND THAT'S REVIEW ENTERPRISE RISK MANAGEMENT PROGRAM ACTIVITY.
SO THE RISK MANAGEMENT IS NOW IN ROWS 12 AND 13.
SO FROM THE PERSPECTIVE OF 12, THAT IS WHERE WE TAKE IT TO THE FULL ITEM TO THE BOARD OF DIRECTORS.
SO THAT WILL HAPPEN TWICE A YEAR GOING FORWARD.
AND THEN THE ROW 13, WHICH IS THE PROGRAM ACTIVITY THAT WILL HAPPEN AT EVERY F AND A MEETING AS WE MOVE FORWARD, STARTING WITH THIS ONE ROW, WHEN WE LOOK AT AUGUST, WE WILL SEE THAT IN ROW 18 WE'LL REVIEW OUR INSURANCE RENEWALS.
THOSE ARE NEED TO BE RESOLVED FOR THAT SEPTEMBER ONE DATE.
SO WE'LL BRING THEM WHAT THAT LOOKS LIKE IN AUGUST AND MAKE SURE THAT WE HAVE CONFIRMATION FROM THE BOARD ABOUT ALL OF THOSE THINGS THAT WE'RE LOOKING TO PUT IN PLACE.
HAVE THE OTHER ITEM THAT WE HAD PREVIOUSLY ADDED AFTER THE LAST BUDGET ROW 20, THAT IS REVIEWING THE COMMISSION ORDERED OPERATING BUDGET RECONCILIATION AS A REMINDER, THAT'S A NEW REQUIREMENT THAT WE PUT IN PLACE.
SO THAT'LL BE THE 12 MONTHS ENDED JUNE 30TH.
WE WILL BRING THAT INFORMATION HERE TO YOU SO THAT YOU CAN SEE IT BEFORE WE FILE IT WITH THE COMMISSION BY SEPTEMBER 1ST DEADLINE.
THEN THERE'S A TYPO IN ROW 19 THAT HE IS WANTED TO HIGHLIGHT.
REVIEW IRS FORM NINE 90 BOD IS CORRECT.
THEN OVER UNDER THE JUNE MEETING, I ACCIDENTALLY PUT IN FNA INSTEAD OF BOD, BUT THAT WILL BE AT THE BOARD TOMORROW.
I'LL GET THAT CORRECTED AS WE MOVE FORWARD FOR AUGUST AND ROW 28, WE HAVE THE INTERNAL AUDIT PLAN DEVELOPMENT THAT'LL BE COMING TO YOU ROW 31.
WE HAVE OUR PERIODIC MEETING WITH OUR FINANCIAL AUDITORS.
SO BAKER TILLY WILL BE BACK TO DISCUSS THEIR AUDIT PLAN FOR THIS FOLLOWING YEAR, GET YOUR FEEDBACK ON THEIR APPROACH.
AND THEN ROSE 35 THROUGH 37 ARE THE 401K SAVINGS PLAN AUDIT.
AND WE'LL HAVE ALL THE PIECES TIED TO THAT, INCLUDING THE ACCEPTANCE OF THE AUDIT AND THE LOOKING AT THE AUDITOR FOR NEXT YEAR.
ANY QUESTIONS ON FUTURE AGENDA ITEMS? SO AUGUST IS GONNA BE ACTION PACKED.
OKAY, LET'S, UH, THANK YOU SEAN.
UH, THE LAST ITEM BEFORE WE MOVE INTO EXECUTIVE SESSION AS AGENDA ITEM SIX, OTHER BUSINESS.
DOES ANYONE HAVE ANY, ANY, UM, BUSINESS TO BRING BEFORE THE COMMITTEE? OKAY, WITH THAT, UH, CHAD REGAN READY TO SPEAK? OH, I THOUGHT I SAW YOU WANTED TO SPEAK.
[Convene Executive Session]
UH, NOW TRANSITION TO EXECUTIVE SESSION.THE COMMITTEE'S GONNA ADUR ADJOURN GENERAL SESSION, CONVENE IN EXECUTIVE SESSION.
THERE ARE NO VOTING ITEMS THAT ARE ANTICIPATED DURING EXECUTIVE SESSION, SO THE GENERAL SESSION WILL NOT RECONVENE AFTER THE CONCLUSION OF THE EXECUTIVE SESSION.
THE GENERAL SESSION IS NOW ADJOURNED AND THE WEBCAST WILL BE CONCLUDED.