First Board of Directors Meeting Minutes

Monday, August 18, 1997

The sixteenth session of the First Board of Directors of the Blue Line Club was convened by Vice President Henry Okleshen at 4:02 p.m. on Monday, August 18, 1997, in the Warren Street Center conference room on the campus of Mankato State University.

Voting Board Members Present

4 of 7 Seats

• Henry Okleshen, Vice President
• Jim Turk
• Jim Bullard
• Larry Morales

Voting Board Members Absent

3 of 7 Seats

• Brad Reeves
• Steve Duea (Excused)
• Kent Schwickert, President (Excused)

Ex-officio Nonvoting Board Members Present

3 of 6 Seats

• David Cowan, Club Secretary-Treasurer - Maverick Boosters Club Liaison
• Cheryl Regan - MSU Athletics Promotions
• Ron Hybertson - Conference Faculty Representative (NCC)

Ex-officio Nonvoting Board Members Absent

3 of 6 Seats

• Don Amiot (Excused) - MSU Men's Athletics Director
• Don Brose (Excused) - MSU Men's Ice Hockey Coach
• Margaret Healy (Excused) - MSU Student Affairs Vice President

Approval of Agenda

Board members reviewed the 8/18/97 "tentative agenda" which had been previously distributed. At the request of MSU Student Affairs Vice President Margaret Healy, the Board agreed to postpone discussion on the agenda item dealing with the $400,000 MSU commitment toward the community's $1.7 million sheet of ice along with the item referring to the developing women's intercollegiate hockey program. Healy had asked Secretary Treasurer Cowan to relay on her request indicating that Men's Intercollegiate Athletics Don Amiot, who was at a funeral, had key information and couldn't be at today's meeting. Director Morales moved and Director Turk seconded to approve the agenda as modified. Motion carried unanimously.

Minutes of Previous Board Meetings Approved

Director Turk moved and Director Bullard seconded that the Board approve the meeting minutes of July 21, 1997. Motion carried unanimously.

Secretary-Treasurer's Report - David Cowan

The Club's Secretary-Treasurer reported that $229.70 had been spent on Club business since July 1, the beginning of fiscal year 1997-98. The Club's $23,000 operating budget also has to absorb a $108.25 shortfall carryforward from the 1996-97 fiscal year which ended June 20, 1997. A shortfall of $108.25 resulted with income of $23,007.50 against spending of $23,115.75. The small shortfall amount amounted to less than one percent of income (0.47% of $23,007.50) committed to support the operating budget.

Secretary-Treasurer Cowan reminded Board members that the operating budget would have ended with a positive balance had not the Board okayed the expenditure of $500 for the June 10, 1997, press conference and reception when MSU announced that it had been invited to play as the #10 seed in the March, 1998, playoff tournament of the Western Collegiate Hockey Association (WCHA) Conference.

Outstanding Billing Balances Resolved

Cowan asked the Board for authority to resolve some billing disputes that are hanging. $149 in clothing related invoices appears to be disputed by some Club members. Though $3,599.50 in embroidered clothing sales were collected and deposited in 1996-97, a couple of members disputed and refused to pay invoices they had received from the Club.

Cowan attributed the conflict to situations where company representatives arrived at a Club pre-game hospitality room function and picked up their order but signed the company's name and not their own individual name. Subsequent hospitality room functions had more representatives from the same company come up to the clothing sales table and ask for their memento or special clothing order, and though records indicated someone had picked up their order already, no name was indicated so a second memento was released at that time to satisfy the demands of the member. The record keeping breakdown occurred at the very beginning of the season when the individual name of the person picking up the memento was not entered in all instances.

There were instances where a company bought both a corporate and an individual membership which also complicated tallying the number of $35 credits and how they were used to buy alternate wearing apparel in lieu of just accepting the Club's official FY'97 embroidered sweatshirt memento. Because records indicated that what was received by the company or individual member exceeded the memento credit, an invoice was sent for the difference.

Director Jim Bullard moved and Director Jim Turk seconded that the Board approve writing off the disputed embroidered clothing related invoices. Motion passed.

Status of MSU Hockey Sales Campaign - Cheryl Regan

Cheryl Regan then reported on sales activity regarding the overall hockey program.

Board members recognized that it is not the duty of the Blue Line Club to deal with every income line associated with this coming year's $698,798 revenue plan for MSU's intercollegiate hockey program, however, Board members appreciated being kept up to date about the overall progress of various sales and promotion efforts.

The campaign date for the "last push" will run from September 2 to October 6. Information will transmitted to the general public via brochures, newspaper ads, radio spots, face to face calls at area businesses, television and radio talk shows, etc. Breakfast meetings are planned for those working on the campaign.

1997-98 Fiscal Year

	Sales Goals		Activity to Date
	Number	Amount	Number	Amount
	(1)	(2)	(3)	(4)
Blue Line Members
Corporate @ $1,200	102	$122,400	100	$120,000
Individual @ $600	91	$54,600	101	60,600
	193	$177,000	201	$180,600
Season Tickets
Regular @ $144	800	$115,200	561	$80,784
Corp. Extra Seats @ $130			61	$7,930
MAHA Tickets @ $48			23	$1,104
	800	$115,200	645	$89,818
Gate Receipts - Home
17 Games @ $3,200		$54,400	Pending	Pending
Dasher Boards/Zamboni		$87,050		$70,183

Still available for sale: dasher board behind net $3,250; behind bench 2 @ $2,950 each; 1/2 Zamboni @ $4,000, 1/2 dasher board behind net @ $1,625, a company logo on the sheet of ice valued at $5,000. The total is $19,775 in potential sales.

MSU's share of clothing and novelty sales from Promotion Works, the successful contract vendor on a recent MSU produced Request For Proposal (RFP), is budgeted at $2,500, along with the Student Senate approved $39,200 subsidy from student activity fees (because of this contribution MSU students are not charged at the gate and sit in a special student section).

Negotiations with Area Chambers of Commerce

It was reported that Don Amiot has had preliminary discussions with the Mankato Area Chamber of Commerce in MSU's efforts to get area chambers of commerce to sell hockey tickets and Blue Line Club memberships on a "consignment" basis. The percentage Amiot is believed to be offering chambers as an incentive to sell tickets and club memberships amounts to 10% of the value of the ticket/membership, not including sales tax. Board members applauded Amiot's initiative.

Club Membership Gains/Losses

Board members reviewed the names of companies and individuals who had decided to drop their club membership. Though many of these folks ended up taking a less expensive package of season tickets, Board members still wanted to try one more time to see if they could be brought back as a full Club member. Club Vice President Okleshen stated that he was pleased that the Club's overall membership was up and that the membership dollars met expectations. However, more needs to be done by the Board and other volunteers to get the word out about the benefits of Club membership.

Development of Women's Intercollegiate Hockey Program

Club Vice President Henry Okleshen expressed his enthusiasm for the developing intercollegiate women's hockey program at Mankato State. [MSU is in the process of recruiting a coach for women's hockey.] He hoped the Blue Line Club could work closely with them once their program was on its feet.

Director Jim Bullard stated that women's hockey was in a growth mode both at all levels of competition and that the Blue Line Club should be ready to see what it would do to assist in their development.

Board members understood a future problem might occur if and when the emerging women's intercollegiate program starting to seek outside funds to support the athletic talent grant needs of its student athletes. It was agreed it is far too early to discuss further such implications but that the Blue Line Club Board should be prepared to help the new women's sport in its struggle to become a viable program.

Civic Center Hockey Event Clothing/Novelty Sales to General Public

It was reported that the University had formally awarded the hockey related clothing and novelties contract to Promotion Works, Inc. That company was the one recommended by the Blue Line Club Board after a presentation was made to the Board in July by both Promotion Works and the University Bookstore. It is a three year contract to sell hockey items and MSU generic clothing during home games at two different sites in the Mankato Civic Center.

MSU hopes to receive at least $2,500. The contract between Promotion Works and Mankato State indicates that the vendor must pay MSU 25% of gross sales.

Determination of the Club's Official Memento for 1997-98

Consistent with action taken by the Board on July 21 to table discussion on what should be the Blue Line Club's free memento for our Corporate and Individual Members, the topic was then brought back up for comment and recommendation. Secretary-Treasurer Cowan presented a number of gift suggestions forwarded by Promotion Works.

It was also noted that on July 21 the Board voted that one of the options should include the ability of Club members to assign the value of their memento to the recently established MSU Hockey Blue Line Club Memorial Scholarship.

Director Jim Bullard moved and Director Morales seconded that a pen be the official 1997-98 memento, with four pens going to each Corporate Member and two pens going to each Individual Member. Motion passed. [Each pen will cost the Club $13.25 and will come with a velvet pouch. "Blue Line Club" will be inscribed on the pen's cap, with "Mankato State Hockey - 1st Div.I Season - '97-'98" inscribed on the pen's barrel.]

Last year the "official" memento was a Blue Line Club embroidered sweatshirt which carried an Board approved value of $35 which could be used as a credit against the purchase of any item within the Blue Line Club's apparel line. Though listed as a $35 credit, the Club actually paid $18.75, which was the lowest competitive bid price it received from two vendors.

Two pens at $13.25 each total $26.50, a value less than the $35 of FY'97, but more than the $18.75 bid price for last year's embroidered sweatshirt. The pen option was viewed as "useable" by virtually all Corporate and Individual Members as opposed to some of the other novelties provided by Promotion Works, the vendor who supplies the Club's apparel line. It was agreed that the pens would be shipped to each member along with a clothing apparel order and return envelope. [An order for an inventory of 700 pens has since been placed totaling $9,275, an amount higher that the $8,865.13 paid out last year to Promotion Works for apparel inventory.] A pen "credit" against a clothing order does not exist.

Since the pens are being shipped directly to each Club member, there exists no ability for members to reject the memento and use a "credit" against the Club's embroidered apparel line or apply the value of the pens as a "donation" to the recently established Club memorial scholarship fund.

Hospitality Room Home Game Door Prizes - $200 Authorized

Director Larry Morales moved and Director Jim Turk seconded that the Secretary-Treasurer be authorized up to $200 to purchase certain novelties to be used as door prizes for those attending home hockey games during the 1997-98 season. Motion passed.

Hockey Alumni and Friends Golf Tournament - September 13th Event

The Secretary-Treasurer announced that, consistent with Board July 21 action, a brochure was produced and mailed to Club members pitching attendance at the "6th Annual Hockey Golf Classic" to be held on Saturday, September 13, 1997, at the North Links Golf Course in North Mankato.

Adjourned

The special meeting then adjourned at 4.57 p.m.