February 2023 Spotlight

SPOTLIGHT STATE EMPLOYEES ASSOCIATION OF NORTH CAROLINA

BOARD OF GOVERNORS MEETING

FEBRUARY 17-18, 2023

HIGHLIGHTS

SEANC board passes resolution on SECU changes SEANC Past President Shirley Bell and former State Employees’ Credit Union CEO Jim Blaine visited the board to discuss changes coming to the credit union, particularly a shift to risk-based lending that will begin on March 1.

Currently, as it has since it started, the credit union treats each member the same when it comes to interest rates and loans. Approvals are based on many different factors rather than just a credit score.

This new risk-based lending strategy will factor in credit scores more heavily and split applicants into tiers based on their scores, similar to a bank. Those with lower scores will pay higher interest rates and be more likely to be denied a loan.

Blaine gave an example of a person with a lower credit score paying $2,000 more for an $18,000 car loan than an applicant with a higher credit score. This system, he said, discriminates based on race, gender, and age.

SECU’s board is meeting again on Feb. 24. SEANC’s board passed a resolution asking SECU to rescind this risk-based lending strategy, which has been sent to each member of the SECU board.

Sen. Hise has filed bill to take away dues deductions Sen. Ralph Hise filed Senate Bill 87 to take away state employees’ right to have payments to associations like SEANC, including dues, insurance premiums and Purchasing Power payments.

The bill is currently in the Senate Rules Committee. Watch your email for important SEANC calls to action should the bill begin to move.

UNC Staff recognize SEANC for golf tournament sponsorship Crystal Woods, chairwoman of the UNC System Staff Assembly, stopped by the board meeting to present SEANC President Martha Fowler with a plaque recognizing SEANC for our sponsorship of the 2022 UNC System Chancellor’s Cup Golf Tournament.

The tournament raises money for scholarships for UNC staff at all 17 institutions.

SEANC plans to sponsor the tournament again this year once details are worked out.

SEANC Board of Governors Meeting

Feb. 17-18, 2023

LEADERSHIP REPORTS President’s Report — President Martha Fowler Fowler discussed the payroll deduction bill and told the board to be ready for a fight.

She alerted the board to a dispute between Humana and Vanderbilt Medical Center in Nashville, Tenn., that could affect state retirees. The State Treasurer’s office is aware of the situation and is working with both parties.

Fowler reviewed several committee meetings she had attended, as well as the national SEIU meeting in Los Angeles.

Executive Director’s Report — Executive Director Ardis Watkins SEANC continues to work around Impexium issues. There has been a marked improvement since Christmas but we still have work to do. Watkins is meeting with the new CEO of Impexium next week.

Aetna will take over administration of the State Health Plan in 2025. SEANC has already been in contact with Aetna to make sure they know we will represent our members’ concerns through the transition. If the State Health Plan goes into the red, costs will go to members in the form of higher premiums, out of pocket maximums, etc.

Watkins has scheduled a meeting with the UNC senior policy staff to discuss ways we can work together to help members.

Watkins will hold an informal Zoom meeting on March 16 at 6:30 p.m. with board members.

First Vice President's Report — First Vice President Kirk Montgomery Montgomery stated that the Planning Committee is working with the Insurance Board to look at all the processes and procedures of budgeting.

The two committees held a joint meeting on Jan. 18, and a subcommittee was formed. It met Saturday, Feb. 18, after the board meeting.

The Planning Committee will start the budgeting process in April.

Second Vice President's Report — Second Vice President Wendell Powell Powell stated that he had attended weekly Executive Committee Zoom meetings and other committee meetings.

He represented SEANC at a Legislative Reception at the Museum of Natural History on Jan. 25.

Treasurer’s Report — Treasurer Emily Jones SEANC General Fund budget is on track for 2022-2023. No drastic changes are necessary or expected at this time.

The board approved raising the reimbursement rate for travel to 65.5 cents/mile to align with IRS figures.

Convention Update — Jacque Chatman Chatman reported that planning has begun for this year’s convention, scheduled for Sept. 7-10. If you know a vendor who may be interested in coming to the convention, let Jacque know.

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SEANC Board of Governors Meeting

Feb. 17-18, 2023

COMMITTEE REPORTS Audit — Alicia Warren The committee met on Jan. 12 and reviewed SEANC’s prior year disbursements.

Districts are asked to submit Annual reports.

Audit Committee representatives are available to assist districts with any questions regarding reporting, compliance and any controls or segregation of duties inquiries.

Awards — Janice Bass Bass reviewed the criteria for each of the four categories for awards – District of the Year, District Chair of the Year, Member of the Year, and Distinguished Service.

The committee would like to present a monetary award with each category in the future and will ask the board for an increased budget to do so in the upcoming budget cycle.

Benevolence — Deborah Fleming Fleming reported that the committee continues to send cards to the families of members who have passed.

She asked that board members continue to send photos for the Convention memorial presentation to Communications Director Jon Owens (jowens@seanc.org).

Bylaws — Kim Martin The Bylaws Advisory Committee will meet on March 25 to discuss the many amendments that have been recommended by SRS Consulting.

Connections — Margaret Reader for B.K. Garrett There have been no applications for aid submitted since the last meeting.

DHHS — Sonya Akbar The committee received 400 responses on its survey of members who work at DSOHF facilities.

We are now in the process of compiling the findings of the survey in a report that will be given to the legislature and DHHS leaders.

Emerging Leaders Council — Kiana Price for Carl Elliott The Emerging Leaders Council met on Dec. 16 and completed a community service project at the SECU Ronald McDonald House in Chapel Hill.

Chairman Carl Elliott is working with Habitat for Humanity to hopefully schedule the next community service project.

The next scheduled meeting is April 29 and the council will be conducting its Adopt-A-Highway pickup that day as well.

EMPAC — Mark Dearmon EMPAC will hold its meeting next Saturday, Feb. 25.

Investment Advisory — Patsy Acquista The committee met on Feb. 7. Its purpose is to determine sound investments for SEANC’s reserves.

Currently SEANC’s reserves are not earning much in an SECU share account. The committee asked the board to move half of it to a money market and half to six-month CD with better interest rates. The board approved.

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SEANC Board of Governors Meeting

Feb. 17-18, 2023

COMMITTEE REPORTS (CONTINUED) Growth & Expansion — Charles Streeter The committee is working to increase membership and enthusiasm for younger members.

A survey of members under the age of 40 was sent out to gauge what they want in an association, but we only received 46 responses.

Insurance Board — Laura Overstreet The Insurance Board has had ongoing discussions with the Planning Committee about how to best budget for the future.

The board approved offering a new home health care plan through Manhattan Life for members Member Discount — Tim Southard District 42 member Tracy Webb won $100 for signing up the most businesses for the program in the most recent contest.

The current contest will run through May 12.

The committee will once again give first, second and third place awards during convention for the most businesses signed up for the year.

Membership — Spillman Grice The committee is now running the Spring Into Action promotion through May 18. Recruiters receive $20 per member recruited, and if you refer a friend and they join you get $20 as well. You also get $25 for each event you schedule and hold.

Spillman Grice recognized the districts that are in the positive in membership numbers for the year. They are Districts 2, 6, 7, 24, 38, 65, 66 and 70.

District 70 had the largest percent increase and District 66 had the most total new members in January.

The committee will award top recruiters at Convention once again, and is planning to recognize the region with the best recruiting numbers with ribbons for each delegate from that region.

The board approved a motion to change the amount districts should spend on recruiting in the Operations Manual from 5% to 10%.

Policy Platform — Betsy Lee Hodges Hodges reviewed the various parts of the Policy Platform and how to suggest new ones in advance of annual meetings.

Prison Reform — Deborah Harney As of January 1, the Department of Public Safety Division of Prisons became a stand-alone agency, Department of Adult Correction. This was one of our committee recommendations.

Todd Ishee was sworn in as Secretary of the new Department of Adult Corrections. The DAC continues to name key personnel to leadership roles.

Phase 3 of the pay increase should be implemented in March.

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SEANC Board of Governors Meeting

Feb. 17-18, 2023

COMMITTEE REPORTS (CONTINUED) Public Education — Mark Dearmon The committee met on Feb. 7 to discuss last year’s Chancellors Cup Golf Tournament. SEANC was the lead sponsor last year and had an opportunity to meet staff members from the UNC System institutions which led to additional opportunities for SEANC on several campuses.

The 2023 tournament will be held at the Bryan Park Golf Course in Greensboro on September 26. NC A&T University will be the host university. The committee is planning on being the lead sponsor again in 2023 and will be asking the 14 SEANC districts that include universities to contribute to the sponsorship once again.

SEANC currently has payroll slots in 56 of the 115 public school systems.

Educators Appreciation Week to recognize all school employees is May 1-5, 2023.

The committee reviewed a draft survey intended to go out to all SEANC members who work in the public schools. The survey will go out in early March with an April 15 deadline. Employees who complete the survey will be entered into a drawing for one of three gift cards - $100, $75 and $50.

Retiree Council — Benny Brigman The Retirement Systems Board of Trustees decided that the system could not afford a cost-of-living adjustment this year based on gains. Instead, it recommended 2% bonuses in the next two years.

The legislature could still give a COLA, but would have to pay for it out of the general fund.

There will be no nominations from the floor this year for the Retiree Council. Please submit nominations 45 days before the convention in order to be considered.

Scholarship Foundation — Mike Bell The committee distributed cash raffle tickets at the board meeting. Contact Phyllis Byrd if you need additional tickets.

Scholarship Chairs should be receiving applications now. Bell reviewed application instructions, and deadlines. Deadline to apply is April 15.

Scholarship Chairs should check their contact information on the SEANC website for accuracy.

Training — Jacque Chatman for Angela Lyght Advanced Leadership Training will be held March 1-3 at the SEANC Office. This training will be conducted by Dr. Kendra Davis. The cost of the training is a $100 registration fee, and the hotel cost for two nights is $260.48.

If you or any of your members attended the Basic Leadership Training and would like to attend the Advanced Leadership Training, please get in contact with Jacque Chatman (jchatman@seanc.org).

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SEANC Board of Governors Meeting

Feb. 17-18, 2023

PASSED MOTIONS from the Board of Governors To accept and approve the Quarterly Board of Governors’ Meeting Minutes of Friday, November 18, 2022 – Saturday, November 19, 2022 and the Monthly Updates of the Board of Governors for Wednesday, January 18, 2023.

To accept and approve the current IRS mileage rate of 65.5 cents, which is being increased form 58.5 cents per mile, with an effective date of March 1, 2023.

The Board of Governors of the State Employees Association of North Carolina (SEANC) requests that the Board of Directors of the State Employees’ Credit Union (SECU) rescind its approval of the risk-based lending program at its upcoming board meeting on Tuesday, February 21, 2023. The SEANC Board also requests that the SECU Board confirm its action with SEANC’s Executive Director, Ardis Watkins, by no later than 5 p.m. on February 24, 2023. Should the SECU Board refuse to rescind implementation of the risk-based lending program, SEANC reserves the right to pursue all avenues available to block implementation of that program; and further, to use all parliamentary and legal channels to elect a more representative board and leadership at SECU. The letter of resolution is to be sent to SECU Chairman Chris Ayers and to the entire SECU Board.

To accept and approve the proposal to continue with SRS Consulting Services for a period of eight months.

To accept and approve for 1st Vice President Kirk Montgomery and Brian Neesby of SRS Consulting to research and find the appropriate platform to build, based on SEANC’s IT needs.

To move half of SEANC’s reserve funds to a CD at 4% interest for six months and the other half to a money market at 1%.

To offer a new Home Health Care Insurance Plan by Manhattan Life.

To change the recommendation in the Operations Manual for districts to set aside five percent of annual dues rebate for membership growth to districts to set aside ten percent of annual dues rebate for membership growth.

ANNOUNCEMENTS Second Vice President Wendell Powell announced that he will be running for SEANC First Vice President.

NEXT BOARD OF GOVERNORS MEETING IS MAY 19-20

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